The latest data show China’s deflation in factory-gate prices easing compared to January, reflecting gradual stabilization in industrial cost pressures.
China’s February Producer Price Index (PPI) fell 0.9% year-on-year, marking an improvement from January’s 1.4% decline and beating market expectations of a 1.1% drop. The smaller contraction suggests that industrial deflation in the world’s second-largest economy may be moderating. PPI trends are closely watched as indicators of manufacturing sector health and future consumer inflation pressures.