China’s NBS Composite PMI Output Index slipped to 50.0 in October 2025 from 50.6 in the previous month, marking the lowest level since December 2022. Manufacturing activity shrank for the seventh straight month, with its rate of decline the steepest since April, as efforts to boost overseas demand have largely fueled price competition rather than lifted sales. Meanwhile, the ongoing trade dispute with U.S. President Donald Trump has prompted some factory owners to reduce exposure to the world’s largest consumer market. Simultaneously, the services sector remained subdued amid persistently weak consumer demand and cautious business sentiment. So far, authorities have shown little urgency to introduce major stimulus measures, following a round of consumer loan subsidies rolled out in mid-August.