New Delhi, July 22 -- China's stock market is buzzing over government promises to tackle price wars that have hurt profits and worsened global trade tensions.

The prevailing catchphrase is "anti-involution," and it reflects efforts to curb intense competition and overcapacity in industries like solar panels, steel, and electric vehicles.

With rising trade barriers such as President Donald Trump's higher tariffs, and relatively weak domestic demand, manufacturers have been slashing prices, undermining their bottom lines and driving some out of business.

The producer price index, which measures the price that factories receive for their goods, has fallen steadily for nearly three years in China in a prolonged bout of deflation. The long-...