China's economic slowdown deepens amid property slump, but EV exports surge

July economic data: retail sales +0.6%, industrial output +4.5%, fixed investment -6.7%, real estate -19.2%. New home prices stagnant. Trade surplus ballooning as exports remain strong but domestic demand falters. Politburo meeting focused on structural drivers, AI, tech exports, no big stimulus. Premier Li Qiang pledges more support for economy, accelerating new growth drivers. Beijing unveils nine-department plan to boost county-level consumption with licensing reforms. Multiple analyses point to structural imbalance and fading subsidy effects. However, EV exports rose 120% in H1 2026, with BEVs undercutting hybrids for the first time, reinforcing China's auto export dominance and structural shift. Domestic auto sales down 20% in H1, BYD offsetting with 79% overseas growth.