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China was already facing an economic slowdown in 2022. Then came Omicron

Hong Kong (CNN Business) China's economy is still struggling with real estate woes and fallout from sporadic Covid-19 lockdowns. Throw the global spread of the Omicron variant into the mix and it could be looking at a sharp slowdown next year.

Government data released Wednesday showed trouble spots for the world's second largest economy in November. Residential housing prices fell for a third consecutive month, a sign that an ongoing property crisis continues to deepen. Retail sales also struggled, suggesting that coronavirus outbreaks and the government's "zero-Covid" approach of locking down areas where the virus flares up are taking their toll on the economy.

Analysts say that these problems aren't going away, as new outbreaks force companies to close factories in key manufacturing regions.