China’s industrial profits fell 1.5% YoY in July, narrowing from steeper drops of 4.3% in June and 9.1% in May, as government curbs on price wars began relieving pressure on company earnings. In the first seven months of 2025, industrial profits slid 1.7%, dragged by a 31.6% plunge in the mining sector. By contrast, profits rose 4.8% in manufacturing and 3.9% in utilities, while raw-material manufacturers rebounded with a 36.9% gain after losses in June. The data showed diverging trends: state-backed firms saw a 7.5% drop, while foreign-invested and private enterprises recorded 1.8% growth. Officials credited Beijing’s “anti-involution” campaign targeting excessive price cutting for improving margins.