The purchasing managers' index (PMI) for manufacturers stood at 49.3 in July, down from 49.7 in June, according to the National Bureau of Statistics (NBS).
The manufacturing industry entered its traditional low season, compounded by high temperatures and extreme weather events, including heavy rain and flooding in some regions, said senior NBS statistician Zhao Qinghe.
Despite the overall decline, several sub-indexes pointed to a positive trajectory, Zhao said.
Industrial sentiment also showed notable improvement as the business expectation index climbed to 52.6—up from 52 in June.
Other bright spots included a sustained expansion in the production index, a continued price recovery and steady growth among large enterprises, a state-controlled news agency reported.
Manufacturing profits in June grew by 1.4 per cent year on year (YoY), a sharp reversal from the 4.1-per cent decline in May.
ALCHEMPro News Desk (DS)
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