The Chinese mainland's manufacturing sector continued its upward trajectory in December, with the Manufacturing Purchasing Managers' Index (PMI) reaching 50.1. This marks the third consecutive month of expansion, as reported by the National Bureau of Statistics (NBS) on Tuesday.
A PMI reading above 50 typically signals growth, while below 50 indicates contraction. The current figure of 50.1 suggests steady economic health in the manufacturing industry. Notably, the index for new orders has risen for the fourth consecutive month, increasing by 0.2 points to reach 51. This uptick reflects sustained demand and stable export activity, as the new export orders index has climbed for two straight months.
In addition to overall manufacturing, the equipment manufacturing PMI remains robust at 50.6, maintaining expansion for five months in a row. Huo Lihui of the NBS attributes the growth in the consumer goods segment to government trade-in policies and the anticipation of upcoming traditional festivals, which buoy production and sales.
The average manufacturing PMI for the fourth quarter was 50.2, a significant increase from 49.4 in the third quarter. Liu Yuhang, director of the China Logistics Information Center, noted that the balance between supply and demand in production and business activities has improved as the fourth quarter progresses. This balance contributes to the stabilization and long-term improvement of the national economy, indicating a positive outlook moving forward.
Reference(s):
cgtn.com
