China’s June Retail Sales and Industrial Output

June retail sales grew 2% year-over-year, slowing from the previous month. The added value of industrial enterprises above the designated size increased by 5.3% year-over-year, also down from the previous month. Real estate investment continued to decline but at a slower pace. Fixed asset investment stabilized, with high-tech industries outperforming the broader market.

June retail sales of consumer goods increased by 2% year-on-year, with cosmetics down 14.6% and food up 10.8%. Excluding automobiles, retail sales of consumer goods reached 36.364 billion yuan, up 3%. Tobacco and alcohol sales rose 5.2%, pharmaceuticals increased by 4.5%, and petroleum products rose by 4.6%. Home appliances and audio-visual equipment fell by 7.6%, and automotive sales decreased by 6.2%. The added value of industrial enterprises above the designated size increased by 5.3% year-on-year and 0.42% month-on-month, with power generation up by 2.3%.

Real estate development investment declined by 10.1% year-over-year in the first half of the year, with new home sales down by 19%. Fixed asset investment increased by 3.9% year-over-year. Private fixed asset investment grew by 0.1%, excluding real estate development investment, and overall fixed asset investment increased by 8.5%. Industrial investment rose by 12.6%, with high-tech industry investment increasing by 10.6%.