An independent survey of China’s manufacturing sector indicates business activity grew at the slowest pace since September last month as sluggish demand dragged on production, putting the country’s factories on uncertain footing at the start of the second quarter.
The Caixin-Markit manufacturing purchasing managers’ index dropped to 50.3 in April, a seven-month low that put it substantially closer to the 50-point line separating growth from contraction compared to a reading of 51.2 in March, as well as further beneath the level reported by China’s official manufacturing gauge.
Manufacturers surveyed last month for the independent survey reported markedly slower growth in both output and new orders, with consumer goods output keeping overall production from falling further on declines from intermediate and investment goods.