China’s fiscal revenue dropped 2.8% in the first five months of 2024, a faster decline than the previous period, reflecting weak demand. Fiscal expenditure rose 3.4% during the same period. In May, fiscal revenue fell 3.2% YoY, while spending grew 2.6%. Beijing is implementing fiscal stimulus measures, including issuing one trillion RMB in bonds and incentivizing trade-ins for autos, to support its economy amid trade tensions. However, concerns remain over weakening property investment and sales, indicating ongoing domestic demand challenges.