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China's manufacturing sector fares better with 49.6 PMI in May

01 Jun '22
2 min read
Pic: humphery/Shutterstock
Pic: humphery/Shutterstock

China's manufacturing sector fared better in May as more factories resumed production after the Omicron outbreak was contained, according to data from the National Bureau of Statistics (NBS), which recently said the purchasing managers' index (PMI) came in at 49.6 in May, up from 47.4 in April. A reading above 50 shows expansion, while one below 50 reflects contraction.

"China's economy took a hit from the Omicron outbreak and changes in the international situation, but it has improved in May due to the effective coordination of epidemic containment and economic and social development," NBS senior statistician Zhao Qinghe was quoted as saying by an official news agency.

The sub-index for production stood at 49.7 in May, up by 5.3 percentage points from the previous month, and the sub-index for new orders stood at 48.2, up by 5.6 percentage points from April.

"Among the 21 industries surveyed, the number of industries with PMI in expansion zone increased to 12 in May from 9 in April, showing positive changes in the country's manufacturing sector," Zhao said.

In May, the sub-index measuring supplier delivery time rose by 6.9 percentage points to 44.1, indicating that logistics remained slow despite some improvement.

The purchase price index for primary raw materials stood at 55.8, 8.4 percentage points lower than the previous month, but still running at a relatively high level.

ALCHEMPro News Desk (DS)

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