China Industrial Production

China's industrial production expanded by 3.9% yoy in June 2022, compared with market consensus of 4.1% and much faster than a 0.7% gain in May. The latest result was the second straight month of growth in industrial output, as the economy emerged further from COVID-19 strict restrictions. Production picked up strongly for both manufacturing (3.4% vs 0.1% in May) and utilities (3.3% vs 0.2%) while mining output growth quickened (8.7% vs 7.0%). Among manufacturing, production grew further for both chemical raw material and chemical products (5.4% vs 5.0% in May), communication (11.0% vs 7.3%), amid a rebound in production of automobile (16.2% vs -7.0%), general equipment (1.1% vs -15.8%), and electricity and heat production and supply industries (3.2% vs -0.8%). In contrast, there were falls in production of food processing industry (-0.3% vs 1.6%) and textiles (-3.9% vs -3.5%). For the first half of the year, industrial output advanced by 3.4% from the same period of 2021.