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China's factory activity expected to have stalled in July
['July', 'Min Read']
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BEIJING, July 30 (Reuters) - China's factory activity growth likely stagnated in July, as weak domestic consumption and cost pressures from the Middle East War offset the boost to production from strong global demand for Chinese goods.
While Chinese manufacturers in high-tech sectors this year have benefited from robust global demand for AI-related products, those catering to the domestic market have grappled with tepid appetite.
The urgency for strong stimulus has been blunted by soaring goods exports, which surged 27% year-on-year in U.S. dollar terms in June and has emerged as a main growth driver.
Industrial profits also extended growth in June, although the 15.1% expansion was slower than the 21.1% year-on-year growth in the previous month.
The private sector RatingDog manufacturing PMI, due to be released on August 3, is expected to dip to 51.5 from 51.7 in June.