# regional disparity

China’s Investment Engine Stalls: Fixed‑Asset Spending Drops in 2025 as Services and Private Capital Retreat

China’s fixed‑asset investment fell 3.8% in 2025 to RMB 485,186 billion, driven by a steep decline in services spending and weak private and foreign investment. Targeted gains in energy and logistics projects offset broader weakness, leaving policy‑makers to balance short‑term stimulus with medium‑term fiscal risks.