1. Manufacturing Purchasing Managers Index

In June 2020, China’s manufacturing PMI was 50.9 percent, up by 0.3 percentage point from last month.

In terms of enterprise scale, the PMI of large and medium enterprises was 52.1 and 50.2 percent, rose by 0.5 and 1.4 percentage points over last month; that of small enterprises was 48.9 percent, fell 1.9 percentage points over last month.

 

According to the classification index, the five sub-indices composing PMI, the production index, new orders index, and supplier distribution time index were all above the threshold, while main raw materials inventory index and employment index stayed below the threshold.

 

Production index was 53.9 percent, up by 0.7 percentage point from last month, indicating that the manufacturing production continually improved month on month.

 

New orders index was 51.4 percent, up by 0.5 percentage point from last month, rising for two consecutive months, indicating that the manufacturing market demand continued to recover.

 

Main raw materials inventory index was 47.6 percent, higher 0.3 percentage point than last month, indicating that the decline rate of inventory of main raw materials in manufacturing industry has narrowed.

 

The employment index was 49.1 percent, dropped by 0.3 percentage point than last month, indicating that the employment outlook of manufacturing enterprises has declined slightly.

 

Supplier distribution time index was 50.5 percent, unchanged over last month, but above the threshold, indicating that the delivery time of raw material suppliers in manufacturing industry has been accelerated.

 

2. Non-manufacturing purchasing managers index

In June 2020, China’s non-manufacturing business activities index was 54.4 percent, up by 0.8 percentage point than the previous month, rising for four consecutive months.

 

In terms of different industry, the construction business activity index was 59.8 percent, down by 1.0 percentage point from last month. The service business activity index was 53.4 percent, up by 1.1 percentage points from last month. From the perspective of industry categories, the business activity index of railway transportation, road transportation, air transportation, postal service, telecommunication, radio and television satellite transmission service, Internet software information service, monetary and financial service, capital market service, and insurance industry stayed 55.0 percent and above, while the business activity index of leasing and business service industry, resident service industry, culture, sports and entertainment industry stayed below the threshold.

 

The new orders index was 52.7 percent, up 0.1 percentage point slightly from last month, indicating that demand in the non-manufacturing market has recovered steadily. By industry, the new order index of construction industry was 55.2 percent, lower 2.8 percentage points than that of last month; the new order index of service industry was 52.3 percent, higher 0.6 percentage point than of last month.

 

The input price index was 52.9 percent, up 0.9 percentage point from last month, indicating that the overall level of input price used by non-manufacturing enterprises for business activities continued to rise. By industry, the input price index of the construction industry was 55.2 percent, lower 4.8 percentage points from last month; that of the service industry was 52.5 percent, up 1.9 percentage points from last month.

 

The sales price index was 49.5 percent, 0.9 percentage point higher than last month, indicating that the overall decline of non-manufacturing sales price continued to narrow. By industry, the sales price index of construction industry was 51.9 percent, lower 2.8 percentage points than that of last month; that of service industry was 49.1 percent, 1.5 percentage points higher than that of last month.

 

The employment index was 48.7 percent, up 0.2 percentage point from last month, indicating that the employment boom of non-manufacturing industry has picked up slightly. By industry, the index of construction industry employees was 57.4 percent, lower 1.4 percentage points over the previous month; that of service industry employees was 47.1 percent, up 0.4 percentage point over the previous month.

 

The business activity index was expected to be 60.3 percent, down 3.6 percentage points from last month but still above 60.0 percent, indicating that non-manufacturing enterprises were optimistic about the recent market recovery. By industry, the expected index of construction business activity was 67.8 percent, higher 0.3 percentage point than last month; that of service business activity was 59.0 percent, lower 4.2 percentage points than last month.

 

3. Composite PMI Output Index

In June, the comprehensive PMI output index was 54.2 percent, up 0.8 percentage point over last month, indicating the production and operation of Chinese enterprises has been improved continuously.

 

Source: National Bureau of Statistics of China