IKEA Urges China for More Economic Stimulus

IKEA has urged China to implement additional economic stimulus measures following a recent package aimed at reviving the nation’s economy, which has been severely affected by a property crisis. The company's sales fell by 5% in the fiscal year ending August 31, with CEO Jesper Brodin highlighting that consumer confidence in China is lower than the global average. Despite this, IKEA remains optimistic about the potential positive effects of the stimulus on the home furnishing market. Currently, China accounts for 3.5% of global sales for Ingka Group, down from 3.6% the previous year. The company has opened a new store in Shanghai, increasing its presence to 39 locations in China, and has seen a notable sales boost from price reductions on select products. China's finance ministry is expected to announce further details on the stimulus measures soon, which could provide a much-needed boost to consumer spending in the sector.