17.08.202607:23:21UTC+00China Fixed Investment Drops More Than Expected

China’s fixed-asset investment declined 6.7% year-on-year in the January–July 2026 period, a sharper fall than both market expectations of a 6.2% drop and the 5.7% contraction recorded in the first half of the year. The property sector remained the main drag, with real estate investment plunging 19.2% after an 18% decline in January–June. Investment in infrastructure (-3.6% vs -2.4%) and manufacturing (-1.7% vs -1.2%) also weakened further.

By sector, investment in the primary industry slipped 0.5%, reversing a 0.9% gain earlier in the year. Investment in the secondary sector fell 2.1% (vs -1.1% in the first half), while the tertiary sector saw an even steeper decline of 9.5% (vs -8.4%).

Excluding the property sector, overall fixed-asset investment was still down 5.7% in January–July, worsening from a 2.7% decrease in the first six months. On a monthly basis, fixed-asset investment dropped 1.42% in July, following a 0.37% decline in the previous month, indicating a faster pace of contraction.