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China’s June PMI Slows For Second Month Running

China’s Purchasing Managers’ Index (PMI), which is regarded as a key measure of manufacturing industry performance, dropped for the second consecutive month in June, but remained above 50 points (which marks the point of economic expansion), according to the China Federation of Logistics and Purchasing.

The June PMI fell 1.8 percent month on month, to 52.1 percent. It has now registered above the 50 mark for 16th consecutive months, since last dropping below in February 2009. The Chinese PMI dropped to an all-time record low of 38.8 percent in November 2008, as the global economic crash impacted on both Chinese manufacturing order books and output levels.

Ten of the PMI’s sub-indices, including production, new orders and purchasing prices, all fell in June. The overall slowdown was attributed to “a moderation in the pace of China’s manufacturing expansion because of the country’s macro regulation policies and slowdown in global economic recovery,” according to the National Bureau of Statistics.

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