China’s factory activity contracted for a third straight month in July, leaving the economy on a weak trajectory that’s frustrating Beijing’s efforts to sustain faster growth.
China’s economy has performed unevenly this year, with manufacturing at times a bright spot while consumption has been weighed down by a prolonged real estate crisis.
China’s trade surplus hit a record high last month as exports surged and imports unexpectedly declined. The growing imbalance has spooked China’s trade partners.
The US and European Union — two of China’s biggest export markets — accuse Beijing of building excess capacity in its industries through state subsidies. They’re erecting new trade barriers that will hold back sales of key products like electric vehicles, and threatening even more.
