China's Manufacturing Base Returns To Growth

Factory activity in China is expanding again. The purchasing managers' index (PMI) for the manufacturing sector came in at 50.1 this month, up from 49.2 in October, according to data from the National Bureau of Statistics (NBS) quoted by the Xinhua news agency.

A reading above 50 indicates expansion, while a reading below reflects contraction.

The rise came after the country's measures to ensure adequate energy supply and stabilise market prices started to work, said NBS senior statistician Zhao Qinghe.

In November, the sub-index measuring purchase prices of major raw materials dropped 19.2 percentage points from October to 52.9. The ex-factory price index fell to 48.9, down 12.2 percentage points from last month.

The sub-index for production expanded 3.6 percentage points to 52, while that for new orders increased 0.6 percentage points to 49.4.

Zhao said the figures show that both production and market demand in manufacturing sector were on an upturn last month.

The PMI for China's non-manufacturing sector came in at 52.3 in November, down from 52.4 in October.