The Caixin China General Manufacturing Purchasing Managers' Index (PMI) came in at 51.4 in April, increasing by 0.3 points from last month's figure to display the highest reading since February of 2023, whilst also indicating the sixth consecutive improvement in the sector.
New orders expanded at the fastest pace in over a year, due to great marketing efforts from manufacturers and improvements in demand conditions. Furthermore, new orders coming in from abroad increased at the swiftest pace for nearly three and a half years. Manufacturers raised their production levels, which in turn caused the purchasing activity to rise, thus contributing to higher stocks of purchases in April. Meanwhile, employment levels fell for an eighth straight month, as manufacturers remained cautious. Sentiment remained positive, with firms hoping to increase sales as economic conditions improve.
"Overall, the manufacturing sector continued to improve, with accelerated expansion in supply and demand, sweetened by exceptional performance in overseas demand," Senior Economist at Caixing Insight Group Dr. Wang Zhe stated.
