News
China Manufacturing · Inflation · PMI · Supply Chain
China's manufacturing sector expanded for a fourth consecutive month in March, with the RatingDog China General Manufacturing PMI falling to 50.8 from 52.1 in February, indicating moderated growth amid the sharpest cost pressures in four years and intensified supply chain disruptions.
Output and new orders continued to increase but at slower rates, while new export business also rose modestly. Employment saw its longest period of job creation since mid-2021, driven by rising work backlogs and capacity constraints.
Supply chain pressures intensified, leading to the longest delivery times since December 2022. Input price inflation accelerated to its highest level since March 2022, and output prices increased at their sharpest pace in four years, both exceeding long-run averages.
Despite these challenges, manufacturers maintain an optimistic 12-month production outlook, citing firmer customer demand, capacity investment, new products, and supportive government policies, though sentiment softened slightly from February's peak.
China Manufacturing Growth Moderates, Costs Accelerate(current)
S&P Global’s purchasing managers index for services providers fell to 49.8 points in March from 51.7 in February as a rise in energy prices brought on by the war in the Middle East eroded confidence.
