China’s manufacturing Purchasing Managers’ Index (PMI) in September reportedly stood at 49.8%, marking the sixth consecutive month in contraction territory.
According to China’s National Bureau of Statistics, the manufacturing PMI for September was recorded at 49.8%, a 0.4 percentage point increase from August but still below the critical 50% mark for the sixth month in a row, indicating that despite a slight uptick in the PMI data, downward pressure on the manufacturing sector continues to persist.
Broken down by enterprise size, the PMI for large enterprises was at 51.0%, up 0.2% from the previous month, maintaining a stable expansion trend and to some extent stabilizing the foundation of the manufacturing sector.
The PMI for medium-sized enterprises was 48.8%, a 0.1% decrease from the previous month, while small enterprises recorded a PMI of 48.2%, a 1.6% increase from the previous month. The PMI for medium and small enterprises remains below the critical mark, indicating ongoing challenges in their operations.
Looking at the sub-indices that make up the manufacturing PMI, both the production index and supplier delivery time index were above the critical threshold, while the new orders index, raw materials inventory index, and employment index were below it.
The Non-Manufacturing Business Activity Index stood at 50.0%, right on the boundary line, showing a 0.3 percentage point decrease from the previous month and on par with the figures from September and November 2024 at 50%, making it the lowest since 2023.
Breaking it down by industries, the Business Activity Index for the construction industry was at 49.3%, up 0.2 percentage points from the previous month, while the index for the service industry was at 50.1%, a 0.4 percentage point decrease from the previous month. Within the service industry, sectors like postal services, telecommunications & broadcasting, satellite transmission services, and monetary financial services all had Business Activity Index values well above 60.0%, indicating high economic activity levels. On the other hand, sectors like catering, real estate, culture, sports, and entertainment had Business Activity Index values below the critical threshold.