MANUFACTURING activity in China has slowed down in April, indicating that the country is still recovering from its decline in economic growth.
In HSBC’s Purchasing Managers’ Index published today, the data showed that manufacturing growth dropped from 51.6 in March to 50.5 this month. A reading above 50 signifies expansion.
The slowdown was attributed to weakening demand for Chinese exports.
“Weaker overall demand has also started to weigh on employment in the manufacturing sector,” said Hongbin Qu, Chief Economist, China & Co- Head of Asian Economic Research at HSBC.
“Beijing is expected to respond strongly to sustain the economic recovery by increasing efforts to boost domestic investment and consumption in the coming months.”