Fitch Ratings expects the US to raise tariffs on imports from China, with a baseline assumption that the effective tariff rate will rise to 35 per cent from mid-2025 from 10 per cent.
Weaker exports will be a drag on growth in China even as domestic demand growth stays weak and deflationary pressures linger.
So Fitch expects Chinese fiscal and monetary policy to become more stimulatory in 2025.