China’s Manufacturing Purchasing Managers’ Index released in March: Economic operation has corrected, but economic operation still has a stable foundation – Xinhua English.news.cn

CCTV News: China Federation of Logistics and Purchasing and the Service Industry Survey Center of the National Bureau of Statistics today (March 31) released the China Manufacturing Purchasing Managers Index for March. Affected by short-term factors such as the spread of the epidemic in many places in the country and geopolitical conflicts, the pressure of supply shocks, demand contraction and weakening expectations in my country’s economy has increased. The overall economic growth rate has rebounded, but the basic raw material industry has rebounded. , has a certain stabilizing effect on the economy.

In March, China’s manufacturing purchasing managers’ index was 49.5%, down 0.7 percentage points from the previous month, falling back to a contraction range below 50%.

Affected by short-term factors such as the spread of the domestic epidemic and the continuation of international geopolitical conflicts, the operation of my country’s manufacturing supply chain has been hindered, resulting in increased supply shock pressure. In terms of industries, the production indexes of equipment manufacturing, high-tech manufacturing and consumer goods all dropped significantly from the previous month. In terms of demand, the manufacturing new orders index and the new export orders index decreased by 1.9 and 1.8 percentage points from the previous month, to 48.8% and 47.2% respectively. Among them, the market demand for equipment manufacturing, high-tech manufacturing and consumer goods industries has contracted significantly.

In addition, geopolitical conflicts have led to fluctuations in the international commodity market, and the prices of raw materials related to my country’s manufacturing industry have also risen rapidly. In March, the purchasing price index rose by 6.1 percentage points from the previous month to a high of 66.1%.

Cai Jin, Vice President of China Federation of Logistics and Purchasing: In March, the purchasing manager index did drop to a certain extent, and the factors for the decline were still short-term factors. Looking at the purchasing managers’ index at a level of 49.5%, although there has been a drop, it still reflects that China’s economy is still relatively resilient to pressure.

Despite the pressure of rising raw material prices, the production and business activities of the basic raw material industry have maintained steady growth, which has supported the economy, indicating that policies related to ensuring supply and stabilizing prices of important raw materials and primary products have achieved good results. In March, the production index of basic raw materials industry increased by 3.9 percentage points from the previous month to 50.1%. In terms of demand, the demand for basic raw materials in the middle and downstream industries of the domestic manufacturing industry is generally stable. At the same time, geopolitical conflicts have led to fluctuations in the production capacity of relevant countries and a decrease in exports, and some foreign demand has shifted to my country. The new orders index and new export order index of the basic raw materials industry both rebounded from the previous month.

Experts said that, on the whole, in March, affected by short-term factors such as the spread of the epidemic and geopolitical conflicts, the economic growth rate has adjusted somewhat, but the economic operation still has a stable foundation.

Cai Jin, Vice President of China Federation of Logistics and Purchasing: It should be said that the overall macroeconomic policy is still in place. Of course, if we look at it now, it must be coordinated with the entire epidemic prevention and control policy, so that it can play a better role. The (promoting) effect of macroeconomic (policy) on the stable development of the entire economy.