world-economy

China-bound shipments decline in July as export momentum stalls

Shipments to the United States fell for the first time in several months during July, signaling a pullback in one of China's key economic drivers. A survey of 1,436 Chinese businesses conducted between July 20 and 28 documented the decline.

The setback follows a strong June performance, when U.S.-bound shipments rose 14 percent and helped push overall exports up 27 percent—the largest monthly gain in nearly five years. That surge reflected frontloading activity as businesses accelerated deliveries ahead of anticipated tariff increases.

The July retreat marks the first contraction since March, when shipments plummeted more than 26 percent year-over-year amid escalating trade tensions that began in April 2025. Manufacturing activity decelerated broadly in July, with employment conditions deteriorating across all surveyed sectors. Retail sales also weakened both month-over-month and year-over-year, with travel and restaurant spending experiencing particularly sharp declines.