China’s manufacturing activity in May fell at a slower rate than the prior month as an easing of restrictions on factories reduced the impact of strict lockdowns across the economy.
- The manufacturing purchasing managers’ index jumped to 49.6, just below the 50-point estimate that separates contraction from expansion but topping the 48.0 forecasts estimated by a Bloomberg poll.
- China’s economy has been hurt by strict lockdown restrictions, pushing Premier Li Keqiang to present a major warning that the country might suffer post growth in the current quarter.
- The recent data signaled that while the manufacturing sector was still shrinking, the rate of contraction had been slowed by a surge in new orders and reduced delivery times.
Zhao Qinghe, senior statistician at the National Bureau of Statistics, stated that there has been some degree of recovery in manufacturing production and demand but that the recovery momentum still needs improvements.
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