Morgan Stanley on China's deflationary spillovers takeaways:

The spillover is reducing US and Euro area core inflation by about 0.1pp as it lowers core goods inflation by around 0.5pp, on MS estimates.
While the overall effects are modest, China should give the Fed and the ECB more room to cut this year.
Falling goods prices have micro implications, most significantly for the US apparel sector.
With China's deflationary impulse, MS estimates that the apparel component of US CPI declines by 0.3pp.