Now Reading
China publishes latest Purchasing Managers’ Index


China publishes latest Purchasing Managers’ Index

103008165 China economy2
Photo: Greg Baker/AFP/Getty Images

China’s National Bureau of Statistics (NBS) is set to release Purchasing Managers’ Index (PMI) figures for January today.

The NBS, a government agency, releases its PMI index to measure manufacturing sentiment across a broad range of large-scale, state-owned companies in China. A PMI figure above 50 represents an expansion in the manufacturing sector, while a figure below 50 represents a contraction. The PMI has remained above 50 since February 2020, despite the COVID-19 pandemic, and recorded a 38-month high of 52.1 in November 2020. With China’s “internal circulation” policy and increased domestic consumption brought about by slowed exports during COVID-19, January’s figure is expected to be 51.6.

China has led the global economic recovery from COVID-19, and surpassing the 51.6 estimate would solidify Chinese economic leadership for the near future. With state-owned companies only reaching 80% productivity of private Chinese firms, the Chinese economy may be even stronger than the PMI index indicates. Continued Chinese economic success despite COVID-19 may prompt some countries still struggling to recover economically from the pandemic to view the Chinese state-owned company model as an answer to stimulate their domestic economies.

See Also
Canadian Auto Theft Summit to begin

Wake up smarter with an assessment of the stories that will make headlines in the next 24 hours. Download The Daily Brief.

View Comments (0)

Leave a Reply

Your email address will not be published.

Scroll To Top