China Industrial Output Growth Slows

1. China's industrial output growth slowed in April, missing market forecasts as both mining and manufacturing activity weakened despite continued export resilience. [para. 1] The value-added industrial output increased 4.1% year-over-year, a slowdown of 1.6 percentage points from March, and fell short of the 5.8% average forecast in a Caixin survey of economists. [para. 2] This weak reading adds to signs of uneven momentum in the world's second-largest economy amid a prolonged property downturn. [para. 3]

2. Mining output grew 3.8% and manufacturing output grew 4% year-over-year in April, both slowing from March. [para. 4] Output of crude steel fell 2.8% and cement output dropped 10.8%, underscoring continued weakness in construction activity. [para. 4] In contrast, equipment manufacturing remained a key growth driver: electronic equipment output rose 15.6% year-over-year in April, while automobile production increased 9.2%. [para. 5]

3. Exports continued to support industrial activity. [para. 6] The export delivery value by industrial enterprises rose 10.6% year-over-year in April, reaching the highest level since June 2022. [para. 6] The chart accompanying the data visualizes the monthly industrial output growth trend from early 2021 through April, with the April bar at 4.1%—the lowest since the start of 2024, reflecting a clear deceleration in recent months. [Chart data]

4. The data underscores persistent challenges in the property sector, which continues to drag on industrial production, while equipment manufacturing and exports provide some offset. [para. 3][para. 5][para. 6] The slower-than-expected industrial output adds to concerns about the overall health of China's economic recovery. [para. 3]