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"China's countermeasures do not intend to purely pursue equivalence in the same amount as the US tariff rates. The latest four-level tariff rates have much more flexibility," said Gao Lingyun, a researcher of Institute of World Economics and Policies at the Chinese Academy of Social Sciences.

"China will never take unilateral measures easily or violate WTO fundamental rules. When handling key issues, it keeps its word and takes responsibility," the spokesperson said.

"China's economy is increasingly driven by domestic demand, so it is important that consumer spending has continued to bounce back," Rothman said, adding the improvement in consumer spending and sentiment has come in advance of a full recovery in income, suggesting a fairly high degree of confidence in the future.

"Credit demand dropped in October, while the aggregate financing growth may continue to slow in the coming months. The government's fiscal spending might have lagged, as indicated by the higher funds in the national treasury," said Ming Ming, an analyst with CITIC Securities.

"Congress should not leave Washington for the holiday recess without enacting a much-needed COVID relief package. We look forward to working with Congress and the new Administration in the new year on a more comprehensive COVID relief package," they added.