China’s retail sales rose 1.0% year-on-year in June 2026, rebounding from a 0.6% decline in May and defying market expectations of a 0.1% fall. Communication equipment sales jumped 16.5%, while cosmetics increased 12.6%, tobacco and alcohol rose 12.1%, and food products went up 7.9%. These gains were partially offset by continued weakness in big-ticket spending, with automobile sales plunging 16.1%. Sales of home appliances (-8.7%), building materials (-10.5%), furniture (-6.6%), petroleum products (-5.1%), and gold and silver jewelry (-3.4%) also declined. By segment, catering revenue increased 1.2%, while retail sales of goods rose 0.9%. Retail sales excluding automobiles increased 3.0%. On a monthly basis, retail sales rose 0.4%, following a 0.2% decline in the previous period. In the first half of the year, retail sales increased 1.3%, while consumer goods sales excluding automobiles rose 2.8%.