Business Standard

China factory activity sees shock contraction on Covid-19 outbreaks

The official manufacturing purchasing managers index fell to 49 from 50.2 in June, the National Bureau of Statistics said Sunday

China, China economy, Economy
Premium

Economists had expected a reading of 50.3, according to the median estimate in a Bloomberg survey of economists.

Xiao Zibang | Bloomberg
China’s factory activity unexpectedly contracted in July, reversing earlier economic momentum as sporadic Covid outbreaks weigh on the recovery. 

The official manufacturing purchasing managers index fell to 49 from 50.2 in June, the National Bureau of Statistics said Sunday. Economists had expected a reading of 50.3, according to the median estimate in a Bloomberg survey of economists. 

A reading above 50 indicates expansion from the previous month, while anything below indicates contraction.

The non-manufacturing gauge, which measures activity in the construction and services sectors, decreased to 53.8 from 54.7 the previous month. That was below the consensus forecast of 53.9. 

China’s economic recovery has

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Jul 31 2022 | 11:55 PM IST

Explore News

To read the full story, subscribe to BS Premium now, at just Rs 249/ month.

Key stories on business-standard.com are available only to BS Premium subscribers.

Register to read more on Business-Standard.com