China Industrial Output Growth Below Estimates

China’s industrial production expanded by 5.7% yoy in July 2025, slowing from June’s three-month high of 6.8% and falling below expectations of 5.9%. This marked the softest increase in industrial production since last November, amid capacity curbs caused by unusually high temperatures and heavy rainfall in some regions. Manufacturing activity growth moderated to 6.2% in July from 7.4% in June, while mining output slowed to 5.0% from 6.1%. Meanwhile, electricity, heat, gas, and water production growth accelerated (3.3% vs1.8%). Within manufacturing, 35 of 41 major industries recorded growth, including automotive (8.5%), computers and communications (10.2%), railway and shipbuilding (13.7%), non-ferrous metal smelting and rolling (6.8%), chemical products (7.2%), coal mining and washing (4.2%), oil and gas (4.1%), food manufacturing (5.6%), and heat production (3.4%). Monthly, industrial output grew by 0.38%. For the 1st seven months of the year, industrial production rose by 6.3%.