China's annual inflation has cooled for the fifth consecutive month, with prices falling to 2.2% in June.
China has cut interest rates twice in the last month in an effort to bolster growth as the global economic crisis weighs on demand for its goods.
China Market Research Group analyst Ben Cavender says the slowdown is not a cause for concern
"We definitely have seen some weakness in some parts of the economy, the manufacturing sector has certainly suffered with the slow rebound in Europe and slow growth in the US. But overall I think there's still a lot of room for growth."