These, she said, subdue investment and consumption demand and induce month-on-month declines in imports by these economies.

"With policies to coordinate pandemic control with economic and social development taking effect, the COVID-19 impact is expected to subdue gradually," Sheng said, citing positive signals already seen in power generation and consumption data.

Wuhan is also going to restart civil aviation services as the virus outbreak continues to subdue.

The country's recent lackluster housing market will subdue the consumer demand for pickup trucks, the association said, adding that the pickup truck sales will be under pressure.

The move will help dampen demand for forward-forex purchases by pushing up the costs, thereby subduing yuan weakening, said Dong Ximiao, chief researcher with Merchants Union Consumer Finance Company Limited.

With the currency spat subduing, economists said the chance of a trade war between the world's two largest economies will be slim at most.