Latest News:  
Beijing   Heavy rain/Thundershower    27 / 23 ℃  City Forecast

English>>China Business

China's PMI at 8-month low

(Xinhua)

13:23, August 01, 2012

BEIJING -- China's manufacturing sector expanded at its slowest pace in eight months, with the purchasing managers index (PMI) for the sector easing to 50.1 percent in July, down 0.1 percentage points from the previous month, according to official survey results published on Wednesday.

The PMI data released by the China Federation of Logistics and Purchasing and the National Bureau of Statistics suggested the manufacturing sector is still expanding even though the growth has slowed.

A reading of 50 percent demarcates expansion from contraction.

However, July's PMI reading was below market expectations. Analysts have forecast that the official data may inch up from one month earlier as the world's second-largest economy is stabilizing.

A flash PMI published last week by HSBC rose to a five-month high of 49.5 percent in July due to increased pro-growth measures.

"The PMI moderation in July was driven partly by seasonal factors," said Cai Jin, vice president of the CFLP, adding that widespread rain last month slowed progress on many projects, dragging the PMI reading down.

"July's PMI slowdown was minimal, which suggested the economy is building up a foundation for stabilized growth," Cai said, but warned that "downward pressure still exists."

Manufacturing PMI has kept above the contraction level since November when the reading was 49 percent, with 50.3 percent for December, 50.5 percent for January, 51 percent for February, 53.1 percent for March, 53.3 percent for April, 50.4 percent for May and 50.2 percent for June.

"The decline in PMI data continued to narrow in July, reinforcing signs that the country's economy is stabilizing," said Zhang Liqun, the Development Research Center of the State Council.

China's economy expanded at 7.6 percent in the second quarter, marking the first time that the country's economic growth rate has fallen below the 8-percent mark since the fourth quarter of 2009.

To buoy the economy, China has adopted a string of pro-growth measures, including lowering banks' reserve ratios and interest rates, subsidizing energy-saving household electrical appliances and speeding up approvals for major construction projects.

News we recommend:
Luxury brands continue to cash in on China market Rare earth regulation justified Growth to bounce back in H2
Lamborghini sees 20-30% rise in supercar sales Ad campaigns are competing hard in London Major lenders broaden horizons and flex financial muscles
Chinese airlines buck global downturn  Software outsourcing on upward curve Realty policy clarification required

Email|Print|Comments(Editor:李倩、厉振羽)

Leave your comment0 comments

  1. Name

  

Selections for you


  1. APF servicemen conduct anti-riot and emergency handling training

  2. Temporary shelter for migrants in Mexico

  3. Major lenders flex financial muscles

  4. International children's culture and art festival held in TJ

  5. Places in China--Chéngdé

  6. Big age gap relationships in showbiz

Most Popular

Opinions

  1. Editorial: For a stronger private sector
  2. India's sea oil push politically motivated
  3. Rare earth regulation justified
  4. How to improve China's tourism industry
  5. S. China Sea issue, where is Philippines’ restraint?
  6. On right track for growth model change
  7. Added value key to countering protectionism
  8. What to expect at London Olympics: Star athletes
  9. What to expect at London Olympics: Beauties
  10. US seeks to create new waves in S.China Sea

What's happening in China

Navy uniforms inspire retro fashion

  1. Dongfeng Honda to recall 76,000 CR-Vs
  2. Food, medicine safety cases on rise
  3. Official promotes aid for jobless grads
  4. Beijing police crack prostitution ring
  5. Officers sentenced for taking bribes

China Features

  1. How to protect yourself during heavy rainstorms?
  2. Are synthetic drugs toxic?
  3. Amway vitamin C tablets short in weight
  4. How to improve China's tourism industry
  5. Special coverage: Bloodshed in U.S. theatre

PD Online Data

  1. Spring Festival
  2. Chinese ethnic odyssey
  3. Yangge in Shaanxi
  4. Gaoqiao in Northern China
  5. The drum dance in Ansai