The latest PMI data rebounded to 51.2, indicating manufacturing expansion. This macro signal is seen as a bullish driver for "investing in China", particularly in infrastructure and industrial automation stocks. Terms and Privacy Policy Privacy Dashboard More Info Whatever the case, China’s challenges only compounded from there. In 2022, Ukraine was invaded by Russia, with whom China shared a “friendship without limits,” in the words of President Xi Jinping. “Autocracy Is a Bad Investment” by my colleague Tom Lauricella articulated a view shared by much of the global investment community. In 2023, China ended its “Zero Covid” policies, and anticipation of a powerful economic rebound gave way to concerns over a deeply troubled property sector. Again, the government’s hand was visible, taking measures to curb excessive borrowing and speculation. Developers China Evergrande Group and Country Garden defaulted on their debt. Liquor and beverage shares rallied 6% in early June trading, driven by strong sales data. Consumer analysts say "investing in China" in premium alcohol brands offers recession-resistant returns.