China’s Youth Unemployment Rate Drops To 17.6%

The jobless rate for 16-to-24-year olds in China, excluding students, fell to 17.6% in September from 18.8% a month prior, official data showed on Tuesday, offering officials relief after youth unemployment hit fresh highs for two straight months.

Unemployment among young people and college graduates jumped from 13.2% in June to 17.1% in July, as some 12 million students entered the labor market, before the August figure rose to its highest level since the National Bureau of Statistics decided to change the methodology to not include students in December 2023.

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Youth unemployment hit a record high of 21.3% in June last year, prompting China to halt publication of the closely watched benchmark until that change was made.

Officials on Friday expressed confidence the world’s No. 2 economy would “continue the stabilization and recovery trend that occurred in September,” at a news conference after the release of a disappointing growth figure for the third quarter.

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But a separate official survey on factory owners’ confidence for September showed that firms continued to hold off on hiring last month. Producers last reported improving employment conditions in February 2023.

The rate last month for 25-to-29-year olds was 6.7%, and also excluded college students, and 3.9% for people between 30 and 59 years of age.

(Reporting by Joe Cash; Editing by Jacqueline Wong and Sonali Paul)

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