The Chinese authorities seem to believe that the country managed to achieve tremendous success and became the world’s second-largest economy without any support from the outside. Meanwhile, Western investment, technology, support, and training helped set the stage for the development of the Chinese economy. With imposed sanctions and foreign investors fleeing from China, the country demonstrates a weak economic recovery. For example, factory activity declined for the fourth month in a row, and the services and construction sectors are on the verge of contraction, according to the National Bureau of Statistics and industry experts. The official manufacturing Purchasing Managers' Index (PMI) climbed to 49.3 in July from 49.0 in June, remaining below the 50-point level. The last time the manufacturing PMI saw such a decline was in 2019. According to Economist Intelligence Unit senior specialist Xu Tianchen, the sharp drop in activity could be a sign of a deep crisis in the construction industry. At the same time, Hang Seng Bank China chief economist Dan Wang acknowledged that the key segments of the Chinese economy may continue their downturn in the coming months.
