China Manufacturing Sags For 3rd Consecutive Month
Chinese manufacturing contracted for a third consecutive month in December, the biggest drop since early 2020 as the country battles a nationwide COVID-19 surge after suddenly easing anti-epidemic measures, the Associated Press (AP) reported.
Photo Insert: The contraction was the biggest since February 2020, when the COVID-19 pandemic had just started.
A monthly purchasing managers’ index (PMI) declined to 47.0 from 48.0 in November, according to data released from the National Bureau of Statistics (NBS) on Saturday. Numbers below 50 indicate a contraction in activity.
The contraction was the biggest since February 2020, when the COVID-19 pandemic had just started.
The weakening comes as China earlier this month abruptly relaxed COVID-19 restrictions after years of attempts to stamp out the virus. The country of 1.4 billion is now facing a nationwide outbreak and authorities have stopped publishing a daily tally of COVID-19 infections.
Several other sub-indexes, including for large enterprises, production and demand in the manufacturing market also dropped compared to November.
“Some surveyed companies reported that due to the impact of the epidemic, the logistics and transportation manpower was insufficient, and delivery time had been extended,” said Zhao Qinghe, a senior economist at the statistics bureau in a published analysis of the December data.