The Chinese industrial activity was determined in July, since the slowdown in the growth of new companies led producers to reduce production, according to a poll in the private sector published on Friday.
S&P Global’s shopping managers in the Chinese shopping managers (SMEs) fell to 49.5 in July, from 50.4 in June and against a 50.4 expectation in a reuters survey. The 50 sign separates the growth of the contraction.
Reading, combined with Thursday’s official survey, is a bad omen for growth dynamics at the beginning of the third quarter, after a solid expansion in the first half of the year.
In the midst of a commercial respite with Washington, economists say that the support of the anticipation of exports before the highest rates in the United States could disappear in the rest of the year.
According to the Global S&P survey, the new export requests would have contracted for the fourth consecutive month and a faster pace than June.
After increasing in June, industrial production decreased in July. The companies tried to use their current titles to meet requests, which contributed to a second consecutive monthly decline in post-production actions.
The decline in production, together with a portfolio of stable delay requests, led the factories to reduce their staff in July. Companies have also stated that costs have supported personnel reduction decisions.
However, the trust of the companies improved at the beginning of the second half of 2025, but was still below the average for the series. The producers expect better economic conditions and promotional efforts to encourage sales next year.
Since July, Caixin has stopped sponsoring the global S&P PMI in China.
Source: Terra
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