Consumer confidence has been up and down in Asia–Pacific markets in recent months and is trending downward in most of these economies. Partner Abhishek Malhotra and colleagues note that while consumers in Australia, Japan, and South Korea indicate declining optimism, results are more mixed among consumers in China and India. In China, consumer confidence rose primarily due to younger generations’ optimism, while India’s consumer confidence dipped ahead of the recent national election.
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A line chart measures consumer confidence in economic conditions across 5 Asia–Pacific (APAC) countries (Australia, China, India, Japan, and South Korea) over 3 quarters (Q4 2023, Q1 2024, and Q2 2024). In Q4 2023, India’s confidence level was at 81%, followed by China’s at 67%. In advanced APAC economies in the same quarter, Australia’s confidence level was highest at 23%, followed by South Korea’s at 13% and Japan’s at 10%. In Q1 2024, India’s confidence level stayed above 75% across the 3 quarters, while China’s declined to 64%, recovering slightly to 67% in Q2 2024. In advanced APAC economies in Q2 2024, Australia’s confidence level rose to 27%, remaining steady at 26% in Q2 2024. In Q1 2024, South Korea’s confidence peaked at 16%, declining to 14% in Q2 2024. Japan’s confidence level remained relatively consistent, moving from 10% to 15% in Q1 2024 and back down to 10% in Q2 2024.
Footnote: Question: What is your overall confidence level surrounding economic conditions in [country name]?
Source: McKinsey ConsumerWise Sentiment Survey, April–May 2024, n = 5,010.
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To read the article, see “An update on consumer sentiment in Asia–Pacific,” July 2, 2024.