Investor Alert

New York Markets Open in:

Aug. 2, 2020, 11:47 p.m. EDT

China's manufacturing activity surges in July

Watchlist Relevance

Want to see how this story relates to your watchlist?

Just add items to create a watchlist now:

or Cancel Already have a watchlist? Log In

By MarketWatch

BEIJING--A private gauge of China's manufacturing activity rose in July to its highest level in more than nine years, boosted by accelerated production and recovering demand.

The Caixin China manufacturing purchasing managers index, which is weighted toward small private manufacturers, rose to 52.8 in July from 51.2 in June, Caixin Media Co. and research firm Markit said Monday.

July's reading marked the third consecutive month that the Caixin PMI stood above the 50 level separating contraction from expansion.

Manufacturers' production expanded for the fifth month in a row and rose at the fastest pace in 9.5 years, Caixin said. Total new orders, reflecting demand from home and abroad, also increased at the fastest rate since the start of 2011.

However, total new export orders remained in contraction territory for the seventh straight month, though the pace of contraction slowed.

"Manufacturing demand and supply continued to recover, but overseas demand remained subdued," Wang Zhe, a senior economist at Caixin Insight Group, said in a statement accompanying the data.

China's official manufacturing PMI, which is focused more on large state-owned companies, also edged up to a four-month high of 51.1 in July from 50.9 in June, data released by the National Bureau of Statistics showed last week. The official survey of manufacturers has a much larger sample than the private survey.

This Story has 0 Comments
Be the first to comment
More News In

Story Conversation

Commenting FAQs »

Partner Center

World News from MarketWatch

Link to MarketWatch's Slice.