none
none

CHINESE MANUFACTURING STILL IN DECLINE

04-12-2015
by 
in 

China’s manufacturing sector has declined for the fourth successive month, according to official data.

The official Purchasing Managers' Index (PMI), compiled by the National Bureau of Statistics, was down 0.2 points to 49.6 points. (A reading of less than 50 indicates contraction).

This is the lowest official reading since August 2012.

Both new orders and new export orders fell substantially, reflecting weak demand in both internal and external sectors.

However, another private manufacturing survey by Caixin PMI showed a slight improvement.

While the Caixin PMI also reported its ninth consecutive month of declining activity, the deterioration is the weakest since June.

The Caixin PMI came in at 48.6, up from a reading of 48.3 in October.

Caixin's chief economist He Fan said the result was partly driven by the stabilisation of output volumes, which had been falling for six months.

Staffing levels continued to decline, marking the seventh month of falling employment in China's factories.

The Caixin survey tends to have a stronger focus on small to medium enterprises than the official PMI data.

The worrying news for Australia's resources sector is the factories reported a further fall in input prices on the back of lower raw material costs.

Dr Fan said while overall new business fell modestly, new export work rose at the fastest rate in more than a year.

"This indicates that pressure on economic growth has eased and fiscal policy has had a strong effect," Dr Fan said.

"Overall, the economy is still on track to become more stable."

Related news & editorials

  1. 20.02.2018
    20.02.2018
    by      In
    An in-depth analysis of the battery industry in Australia has shown that lithium totals a $2 trillion investment opportunity, and despite investment in other kinds of battery technology, Australia must act or be left behind in lithium tech. 
    The Association of Mining and Exploration Companies (AMEC... Read More
  2. 20.02.2018
    20.02.2018
    by      In
    Lockheed Martin Australia has opened a new $12 million Lockheed Martin Australia House on the edge of Canberra’s Parliamentary Triangle. 
    The new office was opened by Defence Industry Minister Christopher Pyne, who said the company has cemented its ongoing commitment to Australia's defence industry... Read More
  3. 20.02.2018
    20.02.2018
    by      In
    Expressions of interest have now opened for trade works on the Osborne Naval Shipbuilding Precinct infrastructure project, promising up to 600 new construction jobs, and ongoing maintenance procedures. 
    Under the project, new facilities will be required to support the continuous build programs for... Read More
  4. 20.02.2018
    20.02.2018
    by      In
    With 'temporary' demountable structures making up more than one-in-ten classrooms in NSW, it is clear the education system is struggling to keep up with expansion. 
    Facing a future with more than five thousand demountables, many of which remain in place for upwards of ten years, the Centre for... Read More