China's consumer price index (CPI) rose just 1.0% year-on-year in June, edging lower as cooling energy and commodity prices dampened headline inflation.
The official data, released Wednesday, indicates that domestic demand remains subdued, with deflationary pressures in the services sector offsetting modest gains in food prices.
The print aligns with market expectations but underscores the fragility of the Chinese recovery.
Traders have been closely monitoring inflation metrics for signs that Beijing's recent fiscal and monetary easing measures are gaining traction.
The soft CPI figure suggests that the transmission of policy support to the real economy remains sluggish, particularly in the property and manufacturing sectors.
Global markets reacted cautiously to the data, with Asian equities trading mixed in early session.