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The phrase "activity shrank" is correct and usable in written English.
It can be used to describe a decrease in the level or amount of activity in a particular context, such as business, economics, or personal habits.
Example: "Due to the economic downturn, the overall activity shrank significantly over the past year."
Alternatives: "activity decreased" or "activity diminished".
Exact(22)
Manufacturing activity shrank in December, while increasing in the rest of Europe.
Economists were most alarmed by data from France, where manufacturing activity shrank at the fastest rate in almost three years.
Manufacturing jobs actually declined, and manufacturing activity shrank after 18 months of growth, according to a purchasing managers' index.
Thus, they had good reason to worry when Chinese manufacturing activity shrank in February for the third straight month.
"When the borrowed money finished, the state could no longer finance its expenses, consumption fell and economic activity shrank".
Purchasing managers index surveys showed euro zone business activity shrank in May, but at a slightly slower pace.
Similar(38)
Manufacturing figures, meanwhile, showed activity shrinking for the seventh consecutive month.
Figures yesterday showed the eurozone's services sector activity shrunk more than originally expected in March.
Sticking with France, the country's purchasing managers' survey for January is particularly bad, with business activity shrinking at the fastest rate since the trough of the global financial crisis.
Overall the 17 nations that make up the eurozone saw economic activity shrink 0.3% in the fourth quarter.
The issue facing the wider European continent is that stubborn unemployment, tepid economic activity shrinking benefits and deep-seated resentment toward immigrants could all prove to be the dry tinder that can light a political fire.
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Since I tried Ludwig back in 2017, I have been constantly using it in both editing and translation. Ever since, I suggest it to my translators at ProSciEditing.

Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com