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The phrase "its challenges" is correct and usable in written English
You can use it when referring to the difficulties or obstacles faced by a person, organization, or situation. Example: "The project has its challenges, but we are committed to overcoming them."
Exact(60)
But it also suggests its challenges.
It has had its challenges, though.
"It definitely had its challenges," Gordon noted.
It's not without its challenges.
But it's not without its challenges.
It's not without its challenges though.
But it is not without its challenges.
"It Can Wait" certainly has its challenges.
However, it's not come without its challenges.
It has not been without its challenges.
Freedom brought its challenges.
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Since I tried Ludwig back in 2017, I have been constantly using it in both editing and translation. Ever since, I suggest it to my translators at ProSciEditing.

Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com