China PPI rose 0.5% MoM in May, slowing 1.2 ppt from April. Industrial upgrading and equipment replacement pushed black metal smelting & rolling prices up 1.2% MoM. Accelerating electrification and AI-driven compute demand boosted nonferrous metal, electrical machinery and computer-related prices: nonferrous metal smelting & rolling +1.1% MoM (tin smelting +4.8%, copper smelting +3.1%); computer, communications & other electronic equipment manufacturing +0.6% (IC packaging & testing +2.9%; exter

China PPI rose 0.5% MoM in May, slowing 1.2 ppt from April. Industrial upgrading and equipment replacement pushed black metal smelting & rolling prices up 1.2% MoM. Accelerating electrification and AI-driven compute demand boosted nonferrous metal, electrical machinery and computer-related prices: nonferrous metal smelting & rolling +1.1% MoM (tin smelting +4.8%, copper smelting +3.1%); computer, communications & other electronic equipment manufacturing +0.6% (IC packaging & testing +2.9%; external storage devices & components +1.9%); electrical machinery & apparatus manufacturing +0.5% (optical fiber manufacturing +8.0%; wire & cable +1.2%). Seasonal demand supported additional sector gains. Volatility in international crude has transmitted to domestic industries, causing some prices to decelerate or shift from rises to declines.