none

CHINA MANUFACTURING SLOWS

14-01-2015
by 
in 

China’s manufacturing activity in December contracted to its lowest level in seven months, according to latest industry data.

The HSBC’s purchasing managers’ index (PMI) finished the year on 49.6 –  the first contraction since May (49.4). Readings above 50 indicate growth, while anything below points to shrinkage.

The index, compiled by information services provider Markit, tracks activity in China’s factories and workshops and is a key indicator of the health of the Asian economic giant, a key driver of global growth.

Qu Hongbin, HSBC’s economist in Hong Kong, said in the statement the data confirmed the further slowdown in the manufacturing sector towards year end.

The slowdown was mainly driven by sluggish domestic demand as new orders contracted for the first time since April 2014, he said.

In contrast, new exports rose for the eighth month in a row and at a slightly quicker rate than in November, according to the statement, signalling buoyant foreign demand as US growth recovers.

China’s economy faces multiple challenges including falling property prices, high debt levels, and what some economists see a looming threat of deflation.

It expanded 7.3 per cent in the third quarter, the government said in October, lower than the 7.5 per cent of the previous three months and the slowest since 2009 at the height of the global financial crisis.

Despite the decline, most economists are optimistic about manufacturing's prospects in 2015.

Related news & editorials

  1. 18.06.2019
    18.06.2019
    by      In
    ABB has appointed IPD as the Australian distributor of its electrification products for the 415V switchboard manufacturer channel from July 2019. IPD will also provide ABB low voltage power distribution solutions to major electrical contractors, while all other channels will continue to be serviced... Read More
  2. 18.06.2019
    18.06.2019
    by      In
    Concrete made using industrial waste from coal-fired power stations and steel manufacturing is being used in a world-first road trial in Sydney.
    The City of Sydney is putting the product to the test on a busy inner-city street leading to Sydney Airport, replacing a 30m section of Wyndham St,... Read More
  3. 18.06.2019
    18.06.2019
    by      In
    Inspection of enclosed spaces such as tanks is laborious and expensive, requires extensive planning and following safety regulations, results in significant downtime and poses many potential hazards. Depending on the relevant regulations, most tanks are inspected every five to 10 years.
    Unmanned... Read More
  4. 14.06.2019
    14.06.2019
    by      In
    Dr Jane Oppenheim, the Scientific and Operations Director of Ego Pharmaceuticals, has been presented the Clunies Ross Entrepreneur of the Year Award by the Australian Academy of Technology and Engineering, in recognition of her leadership and innovation.
    Oppenheim leads the research and development... Read More