China’s economy is on a downward trend, and the authorities are struggling to find effective measures to rescue it. A recent national propaganda ministerial meeting emphasized the importance of economic propaganda. In the following days, multiple articles under the pseudonym “Zhong Caiping” were published in the Chinese Communist Party media, revealing the numerous challenges in economic governance and policy disputes. Earlier, an article by a Chinese media outlet was deleted for highlighting the discrepancy between official propaganda and public sentiment, known as the “economic temperature difference.”
The Communist Party of China’s official newspaper, People’s Daily, published a series of articles by “Zhong Caiping” on the front page for four consecutive days starting from January 7. These articles discussed topics such as macroeconomics, tailored policies, investments, and the domestic market.
One of the articles on January 9 was titled “Leveraging Policy Integration to Enhance the Effectiveness of Macroeconomic Governance.” It mentioned the intricate problems faced in economic work that are seldom addressed by the authorities.
The article pointed out the increasingly complex environment in which the Chinese economy is operating, stating that “there are more and more dilemmas and challenges in economic work, leading to a greater demand for policies.” It highlighted the risk of conflicting policies leading to inconsistencies and errors, affecting market expectations.
It also mentioned the growing impact of external shocks and internal difficulties on local fiscal revenues and expenditures, as well as the challenge of decreasing financial resources combined with a continuous increase in non-discretionary spending.
“Zhong Caiping” is widely believed to be a pseudonym used by the Chinese Communist Party’s Central Financial and Economic Affairs Commission or its office, continuing the legacy of the “Zhong Caiwen” series of articles. Several Chinese media outlets noted that the series of articles under this pseudonym aimed to implement central directives in 2026, avoiding hasty decisions at the local level or inter-departmental conflicts.
In contrast to the official praise of the continued growth of the Chinese economy, there has been a general decline in the living standards of Chinese people and a downgrade in consumption.
Zhao Jian, the director of the West Jing Research Institute, published an article on Caixin’s website at the end of December last year titled “The Mystery of Economic Temperature Difference.” He highlighted the drastic disparities in the Chinese economy, with GDP growth concentrated in specific sectors and elites, while the majority of ordinary citizens feel the chill brought by the contraction in the real estate market. Widespread sentiment indicates challenges in business operations, job opportunities, and even reports of individual losses in the stock market.
The article pointed out that the 200 trillion yuan increase in national total output could not compensate for the 200 trillion yuan wealth shrinkage caused by three consecutive years of adjustment in housing prices. This wealth shrinkage, coupled with increasing debts, further exacerbates the decrease in disposable income, resulting in significant disparities between macro and micro economic perceptions. It criticized the authorities for clinging to outdated economic thinking.
The publication of this article prompted intense discussions among netizens but was swiftly removed.
Recently, during a national propaganda ministerial meeting held in Beijing on the 5th, Secretary of the CPC Central Committee Secretariat Cai Qi emphasized the “importance of economic propaganda” and the need to enhance public opinion responses and guidance. Observers noted that in the past two years, the authorities have quietly stopped promoting the “bright economic discourse.”
Commentator Li Linyi stated that the abandonment of the “bright economic discourse” signifies the Chinese economy has not recovered from its woes in recent years. Regardless of the authorities’ efforts, the economy remains stagnant, living standards are declining, and discontent is rising. Abandoning the previous narrative implies a bleak outlook for the future.
Li Linyi added that the emphasis on economic propaganda in the recent ministerial meeting is merely a play on words. In essence, the authorities are still trying to maintain a facade of stability, and any discourse revealing the truth about the economy will continue to be tightly controlled.