FX.co ★ China NBS General PMI Lowest Since Late 2022

China’s NBS Composite PMI Output Index slipped to 49.3 in July 2026 from 50.6 in June, its lowest level since December 2022. This reading signaled the first contraction in overall business activity since February, as manufacturing output declined for the first time in five months amid subdued demand and persistently high production costs.

The services sector also moved back into contraction after two months of modest expansion, reinforcing expectations that Beijing will continue to lean on gradual, targeted policy measures to support growth. NBS statistician Huo Lihui noted that some manufacturing industries had entered their traditional off-season but stressed that business expectations remained broadly optimistic, while activity in the cultural and tourism industries continued to recover.