China’s economy is deeply embedded in global supply chains and fluctuations in its growth can have worldwide repercussions. Combining novel Chinese demand and supply shocks with both country- and firm-level data, this column shows that: (i) global GDP responds more to Chinese supply shocks than to Chinese demand shocks; (ii) both supply and demand slowdowns in China reduce partner-country GDP and firm revenue, especially where trade links to China are stronger; and (iii) supply shocks have