The purchasing managers' index (PMI) for China's manufacturing sector stood at 50.3 in April, with high-tech and equipment manufacturing leading the continued expansion, official data showed Thursday.
Although the figure represents a slight decline of 0.1 percentage points from the previous month, overall it marks two consecutive months of operation in the expansion zone after a rebound in March, suggesting that manufacturing remains stable and growing.
Relying on a survey of manufacturing companies in the country, the index is a key indicator of trends in the sector's activity. A reading above 50 indicates expansion, while one below 50 reflects contraction.
The sub-index for new orders stood at 50.6 in April, also indicating two consecutive months of growth. Notably, the new orders sub-index for high-tech manufacturing remained above 53, while indices for equipment manufacturing and consumer goods manufacturing stayed above 52.
"Despite a slight decrease in the manufacturing PMI for April compared to last month, both the production and new orders indices remained above 50, reflecting continued growth in manufacturing economic activity within the expansion zone," said He Hui, vice president of the China Federation of Logistics and Purchasing.
Driven by several positive factors, overseas demand saw a strong recovery in April, with the sub-index for new export orders rebounding into expansion territory after 23 consecutive months of contraction.
Company surveys indicated that in April, the proportion of businesses reporting insufficient market demand was 46.1 percent, a decrease of 2.4 percentage points from the previous month and marking the lowest level since June.
Additionally, rising demand drove solid production growth among manufacturers. The April production sub-index edged up 0.1 percentage points to 51.5, staying above 51 for a second straight month.
The production sub-index for equipment manufacturing climbed above 53, and the reading for high-tech manufacturing exceeded 52.
"By industry, production and new orders sub-indices for railway, shipbuilding, aerospace equipment, electrical and mechanical machinery, and computer, telecom, and electronic equipment all came in at 53 or above - a sign of rapidly releasing demand in those sectors," said Huo Lihui, a chief statistician with the National Bureau of Statistics.
China's manufacturing PMI at 50.3 in April
China's manufacturing PMI at 50.3 in April
