Asia’s deflation wave is real. China’s PPI down 3.6%. Japan softens. ASEAN flooded with cheap goods. The second phase has begun.
Asia’s deflation wave is no longer a theory. It’s a measurable shift. In June 2025, China’s producer price index dropped 3.6% year over year. That marks the sharpest contraction since July 2023 and extends the deflation streak to 33 consecutive months. The cost of production materials fell 4.4%. Mining prices collapsed 13.2%. Raw materials dropped …