Latest News:  
Beijing   Sunny    6 / -4   City Forecast

People's Daily Online>>Opinion

Will China's economy keep growing or slow down?

By Ye Tan (Jiefang Daily)

08:05, March 07, 2012

Edited and translated by People's Daily Online

China's Purchasing Managers' Index (PMI) rose 0.5 percentage points from the previous month to 51 percent in February, which boosts Chinese people’s confidence in the country's economy, according to statistics from the China Federation of Logistics and Purchasing (CFLP).

The country's PMI has been slightly over the critical point of 50 percent that demarcates expansion and contraction for three consecutive months. The PMI reading of 51 percent shows a slow expansion, lower than the historical average of 52.7 percent, which suggests that the foundation for the recovery of the country’s manufacturing economy is not solid enough. However, there is also good news. The five major PMI sub-indices, including the sub-indices of production, new orders, employment, and supplier deliveries, all rose, except the sub-index of raw material inventory.

Statistics from the CFLP show that major manufacturers are recovering due to an improved investment environment and loosened monetary policy.

Industries that are growing include traffic and transportation equipment manufacturing industry, general-purpose equipment manufacturing industry, electrical machine and equipment manufacturing industry, special equipment, instrument and meter manufacturing industry, communication equipment, computer and electronic equipment manufacturing industry as well as medicine production industry. However, situations of iron ore, cooper industry, shipping and oil industries are not optimistic. Except for the equipment manufacturing, situations of other raw materials and manufacturing industries are also not good. Therefore, the financial strain of China's large enterprises has eased. In the inter-bank lending market of Shanghai, both the short-term and long-term interest rates are at low levels and the measure of reducing deposit-reserve ratio has taken effect very quickly.

【1】 【2】

Email|Print|Comments(Editor:韩莎莎)

Leave your comment0 comments

  1. Name

  

Selections for you


  1. Chinese leaders join panel discussions, Hu stressing stability in Tibet

  2. Wounded Chinese workers in Congo blasts to head home

  3. Marvellous spectacles of extreme weather

  4. Odd-looking animals around world

Most Popular

Opinions

  1. Facing problems forges confidence for development
  2. Defense budget guards peaceful intentions
  3. Will China's economy keep growing or slow down?
  4. Chinese products bring benefits to U.S. consumers
  5. Is international 'hot money' flowing into China?
  6. China's economy to roar ahead amid global woes
  7. U.S. solution to Syria issue doomed to failure
  8. Trust key to stability on Korean Peninsula
  9. Public will increasingly swaying diplomatic policies
  10. Political dialogue is right solution to Syrian crisis

What's happening in China

Students may get sporting chance

  1. Tourism resort seeks credibility after scandal
  2. Road rage killer sparks public fury
  3. Strong earthquake jolts sparse area in Xinjiang
  4. Women own more than 55% of houses in Beijing
  5. Wuhan to set up police team to ensure food safety

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