# China factory inflation hits 3-month low as oil shock eases

2026-08-09T03:42:21+00:00 | World & Diplomacy | Indian Opinion Desk

Corroboration: 1 independent outlet

China's producer price inflation slowed to a three-month low in July, easing more than expected as global energy prices retreated despite the US-Iran war. Consumer inflation also cooled to 0.5%, with core CPI at 0.9%, official data showed on Sunday. The slowdown reflects persistently weak domestic demand, even as factory output and exports remain strong, reports indicate. Beijing has pledged to accelerate fiscal spending on already budgeted infrastructure projects through year-end to bolster growth. The two-speed economy, robust manufacturing paired with tepid consumption, keeps deflation risks alive, analysts cited by sources say.

## Coverage

- economictimes.indiatimes.com <https://economictimes.indiatimes.com/news/international/business/china-producer-inflation-slows-to-three-month-low-consumer-prices-cool/articleshow/133061508.cms>
- ndtvprofit.com <https://www.ndtvprofit.com/markets/chinas-july-factory-gate-inflation-eases-to-three-month-low-as-iran-war-led-oil-shock-eases-11886146#publisher=newsstand>

Tags: China, consumer prices, economic slowdown, inflation, producer prices, stimulus
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