Beijing: The purchasing managers' index (PMI) for China's manufacturing sector registered a slight increase in August, reaching 49.4, up from 49.3 in July, according to official data released on Sunday. A PMI reading above 50 suggests expansion in the sector, while a reading below 50 signals contraction.
According to Emirates News Agency, the sub-index for production rose to 50.8 from 50.5, staying within the expansion territory for the fourth consecutive month. Zhao Qinghe, a senior statistician with the National Bureau of Statistics, remarked that this indicates a pickup in manufacturing production. Meanwhile, the sub-index for new orders inched up to 49.5 from 49.4, reflecting a slight improvement on the demand side.
Key sectors such as high-tech manufacturing and equipment manufacturing showed resilience, with their PMI figures at 51.9 and 50.5, respectively. These sectors continue to play a crucial role in supporting the overall manufacturing industry in China.
The report also highlighted a brighter market outlook, with the sub-index for production and business activity expectations climbing to 53.7 from 52.6 in July. Zhao noted that this marks the second consecutive month of growth for this sub-index, indicating increased confidence among manufacturing companies regarding future market conditions.