Beijing: China's factory activity contracted for the second month in February as reported by the National Bureau of Statistics. The official manufacturing purchasing managers index (PMI) fell to 49, down from January's 49.3, marking a four-month low for the index.
According to Emirates News Agency, the PMI is derived from a monthly survey of factory managers and is presented on a scale of 0 to 100. A reading below 50 indicates a contraction in the manufacturing sector. December's PMI reading of 50.1 had ended China's eight-month streak of contraction, but the recent figures suggest a return to weakness in manufacturing. Lower US tariffs in the coming weeks might provide a slight increase in activity, but the current numbers highlight ongoing challenges.