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What is ‘involution’, China’s race-to-the-bottom competition trend?

What is ‘involution’, China’s race-to-the-bottom competition trend?

Beijing is facing decisions to take action against overcapacity, excessive competition and brutal price wars because deflationary pressures have been mounting in the world’s second-largest economy
The fight against deflation is a complicated one that poses risks to employment and growth. It comes as an unresolved trade spat with the US intensifies the squeeze on factory profits

By Reuters · 15 September 2025

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