CX Briefing: Industrial Output Growth Slows

A rundown of the news making headlines in and around China:

Economic indicators sluggish: China’s industrial output in July grew by 5.7% year-on-year, the lowest so far this year, according to official data released Friday. The 1.1-percentage-point decline compared with June came as manufacturing entered the off-season and some industries were hit with production restrictions amid Beijing’s effort to stamp out excessive competition, termed “involution.” Meanwhile, growth in retail sales of goods also slowed, as the positive effect of the government’s auto trade-in subsidies dwindled. Driven by increased summer travel, service consumption performed well. From January to July, the cumulative year-on-year growth rate of fixed-asset investment slowed to 1.6%, with investment growth rates declining across the three major sectors: manufacturing, infrastructure and real estate.