AI Data Insight
In Q4 2025, China's Producer Price Index (PPI) for means of production reported at 97.0, declining further from the previously observed 97.5, indicating that industrial deflationary pressure continues to expand. Under the dual pressures of a sluggish housing market and overcapacity, enterprises are deeply bogged down in an "involution-style" price war. Factory-gate prices will remain under pressure in the short term, while in the medium term, the supportive strength of policy interventions and international raw material prices needs to be monitored.