A private survey reported China’s manufacturing sector has expanded at “solid pace” in August, showing a sign of economic recovery from the Covid-19 pandemic.
Caixin China General Manufacturing Purchasing Managers’ Index (PMI) rose to 53.1 in August from 52.8 in July, which was the fastest expansion since January 2011.
“Manufacturing demand and supply continued to recover, and overseas demand started to pick up,” wrote Wang Zhe, a senior economist at Caixin Insight Group.
In August, “the subindices for output and total new orders again hit their highest levels since January 2011.” The gauge for new export orders also entered expansionary territory for the first time this year, due to a slowing spread of outbreak overseas, added Wang.
Wang also stated that PMI has now risen for four consecutive months, reflecting that the manufacturing sector continued to recover from the impact of the pandemic, and that the momentum of the recovery remained strong.