Riots Spread In China Just Hours Before Latest Inflation Data Is Released

China ProtestNote: Photo from late May protest in China’s Inner Mongolia region

Photo: AP

Riots are spreading throughout China, as discontent over rising prices and living conditions riles the country’s working classes.Here’s are roundup of the latest reported riots:

  • Migrant workers engaged in large protests yesterday in Guangzhou, China, after a pregnant woman, selling items at a street market, was mistreated by security officials, according to Radio Free Europe. The police were forced to use tear gas on protesters, who set police vehicles on fire.
  • In Hubei, a Chinese official died while in prison, and thousands of protesters hit the streets to protest his mistreatment. They stormed the government compound in the town. Riot police fought back, and many people were wounded, according to the Epoch Times.
  • Today, protesters grouped in front of the railway office in Beijing, after losing their jobs. Roughly 50 people attended the protests.

All of these protests come ahead of tonight’s latest data on Chinese consumer inflation. That number is expected to rises 5.5% year-over-year, more than the 5.3% year-over year rise experienced last month.

Such a rise would indicate the government’s tightening measures are failing thus far. Coupled with rising public discontent, China’s leadership may be forced to take an even harder line on inflation, risking a deeper slowdown than is already materialising.

Note the recent stabilisation in inflation in China:


Photo: Waverly Advisors

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