China's manufacturing activity showed renewed momentum in May, with the official Purchasing Managers' Index (PMI) rising to 49.5 – a 0.5-point increase from April – according to data released Friday by the National Bureau of Statistics (NBS). While still below the 50-point threshold separating expansion from contraction, the improvement marks the third consecutive month of gradual recovery.
NBS statistician Zhao Qinghe attributed the growth to accelerated production and strengthening business confidence. The production sub-index jumped to 50.7, entering expansion territory with a 0.9-point monthly increase, while new orders edged closer to positive growth at 49.8 (+0.6 points).
Analysts suggest the figures reflect the cumulative impact of recent pro-growth measures, including targeted industrial policy support and improved domestic demand. The equipment manufacturing and consumer goods sectors led the recovery, with their PMI readings surpassing the national average.
Market watchers note the gradual improvement aligns with broader regional economic trends, though challenges remain in sustaining momentum amid global supply chain adjustments. The data comes as Asian markets show increased sensitivity to manufacturing indicators, particularly in technology and green energy sectors where China plays a pivotal role.
