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Good Trend of Economic Development Continues

PMI Remains above 51% for the 14th Consecutive Month

Submit Time:03-01-2018 | Zoom In | Zoom Out

Author: | Source:People’s Daily (December 1, 2017)


The China Federation of Logistics & Purchasing and the Service Industry Investigation Center of the National Bureau of Statistics announced that the manufacturing sector’s purchasing managers index (PMI) for November was 51.8%, 0.2 percentage points higher than the previous month. 

In light of the trend, this index has remained above the high level of 51% for 14 months since October last year, and reached this year’s second highest point in November. The main sub-indexes such as new orders, production and procurement amounts all rose above the levels of the same period last year. Viewed from an overall perspective, interaction between the supply and demand sides rose, market price hikes slowed down, enterprises’ production and operation environment further improved, and the trend of steady improvement in economic development continues to develop in depth. 

Research follow at the Development Research Center of the State Council Zhang Liqun said, “The PMI for November is slightly higher, showing the characteristic of China’s steady economic growth is more obvious. The production index has reversed the downward trend, showing steady industrial growth; the rise of the order index shows stable demand from domestic and foreign markets, and the export growth rate might rose slightly. In light of the overall situation, the trend of steady economic growth will be obvious in the future.” 

In November, the manufacturing sector’s new order index reached 53.6%, 0.7 percentage points higher than previous month. The production index reached 54.3%, 0.9 percentage points higher than the previous month and 0.4 percentage points higher than the same period last year. In light of the overall situation, the current market environment keeps improving, enterprises’ operating rate is higher, and this good overall development trend will still continue later. In the fourth quarter, the trend of economic stabilization will be further consolidated, and the good development trend will be more obvious. 

In November, China’s non-manufacturing business activity index was 54.8%, 0.5 percentage points higher than the previous month. Among various single indexes, the indexes of new orders, new export orders, input prices, selling prices, supplier delivery time and business activity forecasts all rose over the previous month. According to Vice Chairman of the China Federation of Logistics & Purchasing Cai Jin, the non-manufacturing business activity index rose to 54.8% in November, showing stabilization of market operation activities and continuous steady and fast growth of the non-manufacturing sector. The new order index and the selling price index both rose, meaning consolidation of the basis of market demand and enhancement of the trend of steady economic development. In particular, the selling price index reached a new high this year. The rise in sales terminal prices is conducive to expanding enterprises’ profit margin and stimulating enterprises’ initiative in operations.


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