China's factories pay more for inputs, but consumer prices keep falling

Chinese factories are paying significantly more for raw materials and energy than a year ago. But they are selling finished consumer goods for less, squeezing their profit margins.

This data shows a growing gap between what it costs to make things and what consumers are willing to pay for them. Factories face higher costs for inputs like metals and fuel, but prices for food, clothing, and daily necessities are dropping. This means manufacturers are under pressure to absorb costs or cut production, while consumers might be holding back spending.