China’s manufacturing sector continued to shrink in October, marking the seventh consecutive month of contraction, according to an official survey released Friday. The data underscore the challenge of boosting domestic demand, as attempts to increase exports risk merely passing on price pressures abroad.

The National Bureau of Statistics’ purchasing managers’ index (PMI) dropped to 49.0 in October from 49.8 in September, hitting a six-month low. A reading below 50 indicates contraction in factory activity, highlighting persistent weakness in the world’s second-largest economy.