China's top leaders vow crackdown on price wars as deflation risks mount

Maria Sandu

Edition: Singapore Indonesia Asia US/UK BEIJING: China's top leaders pledged on Tuesday (Jul 1) to step up regulation of aggressive price-cutting by Chinese companies, state news agency Xinhua reported, as the world's second-biggest economy struggles to shake off persistent deflationary pressures. Overcapacity among Chinese manufacturers and the price cuts made to clear stock, have sparked price wars that are showing signs of influencing consumer behaviour . Analysts worry this could drive