The Chinese mainland's manufacturing sector is showing promising signs of recovery, with the Purchasing Managers' Index (PMI) rising to 50.1 in October. This marks the second consecutive month of improvement, signaling a robust economic rebound.
The PMI, a crucial indicator of economic health for both manufacturing and service sectors, uses a reading above 50 to denote expansion and below 50 to indicate contraction. In October, the Chinese mainland's PMI increased by 0.3 percentage points from the previous month.
Impressively, the improvement was broad-based across the manufacturing industry. Out of 21 sub-sectors, 12 reported PMI figures above the 50 threshold, highlighting that the majority of sectors are experiencing growth. This widespread expansion has significantly enhanced the overall economic resilience of the region.
Zhao Qinghe, a senior statistician at the Service Industry Survey Center with the National Bureau of Statistics (NBS), noted that the PMI increase was driven by the accelerated implementation of existing policies and the introduction of new growth-stimulating measures. These efforts have led to a steady recovery in market demand.
Manufacturers reported increased production activities, with the production index rising by 0.8 percentage points to 52.0. This reflects a faster expansion in manufacturing output. Additionally, there has been a notable decrease in concerns over insufficient market demand, with the proportion of firms citing this issue dropping by nearly 3 percentage points.
Zhao further explained that the ongoing effects of macroeconomic policy adjustments are fostering increased market vitality and creating a clearer synergy between supply and demand. These factors are gradually strengthening the momentum of the Chinese mainland's economic growth.
Reference(s):
China's manufacturing PMI re-enters expansion territory in October
cgtn.com
