China’s Manufacturing Purchasing Managers Index (PMI) for September has increased by 0.5 percentage points from the previous month, reaching 50.2%, according to data released by the Service Industry Survey Center of the National Bureau of Statistics and the China Federation of Logistics and Purchasing. This marks the first time since April that the PMI has returned to the expansion range.
The manufacturing sector in China has experienced a rebound for four consecutive months, with the PMI exceeding the critical point in 11 out of the 21 industries surveyed. This indicates that the manufacturing boom has expanded in terms of coverage. “Both production and demand continue to improve as market demand gradually recovers. Manufacturing production activities have been accelerating,” said Zhao Qinghe, a senior statistician at the Service Industry Survey Center of the National Bureau of Statistics.
In September, the production index and new order index were recorded at 52.7% and 50.5%, respectively, showing increases of 0.8 and 0.3 percentage points compared to the previous month. The price index has also continued to rise due to the increasing prices of bulk commodities. The main raw material purchase price index and ex-factory price index reached 59.4% and 53.5%, respectively, indicating an increase of 2.9% from the previous month and reaching their peaks for the year.
All key industries have experienced a rebound in PMI. Equipment manufacturing, high-tech manufacturing, and consumer goods industries recorded PMIs of 50.6%, 50.1%, and 51.3%, respectively, all in the expansion range. High energy-consuming industries achieved a PMI of 49.7%, which is below the critical point but shows an improvement of 0.6 percentage points from the previous month.
The expectation index for production and operating activities remained stable at 55.5% in September, signifying continued optimism among enterprises about market expectations. Certain industries, such as agricultural and sideline food processing, automobiles, railways, ships, and aerospace equipment, reported expected indices in the high-prosperity range of over 60%, indicating strong confidence in the industry’s development.
Despite the positive indicators, Zhao Qinghe emphasized that the manufacturing industry still faces challenges, such as intensified industry competition, high raw material costs, and financial constraints. To ensure the continued recovery of the economy, it is essential to implement policies and measures effectively.
Editor: Wu Jiahong