China’s manufacturing PMI down to 53 in September

Chinese manufacturing sector remained in the positive territory in September with the Caixin China General Manufacturing Purchasing Managers’ Index (PMI) declining to 53 from the previous month, according to the latest report released by the IHS Markit on Wednesday. The index failed to meet estimates that expected it to remain virtually unchanged compared to the month prior.

New business expanded at the strongest rate since January 2011 as the growth rate of new order within China’s manufacturing sector was the steepest recorded since the start of 2011. Meanwhihle, new export business strengthened at the fastest pace since August 2017, suggesting the sector’s recovery from the coroanvirus crisis could be quicker than expected.

“The recovery in manufacturing has maintained its momentum in the wake of the Covid-19 epidemic, with both the supply and demand surging. The subindex of total new orders rose to the highest since January 2011, helped by sharply rebounding overseas demand. The gauge for new export orders climbed to the highest in three years,” Dr. Wang Zhe, Senior Economist at Caixin Insight Group, said in a statement.



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