National Bureau of Statistics: January PMI shows differentiated characteristics, high-tech manufacturing industry maintains relatively high business confidence.

On January 31, the National Bureau of Statistics released data showing that in January, the Manufacturing Purchasing Managers' Index (PMI), Non-Manufacturing Business Activity Index, and Comprehensive PMI Output Index were 49.3%, 49.4%, and 49.8% respectively. They decreased by 0.8, 0.8, and 0.9 percentage points respectively compared to the previous month, indicating a slight decline in economic activity. I. Manufacturing Purchasing Managers' Index declined slightly, production continues to expand In January, some manufacturing industries entered the traditional off-season, coupled with insufficient effective market demand. The manufacturing PMI was 49.3%, a decrease in economic activity compared to the previous month. (1) Enterprise production continues to expand. The production index was 50.6%, above the critical point, indicating continued expansion in manufacturing production. The new orders index was 49.2%, indicating a slight decline in market demand. Looking at different industries, the production and new orders indices for industries such as food processing, railway, shipbuilding, aerospace equipment were above 56.0%, indicating quick production and demand release. On the other hand, industries like petroleum, coal, and automotive had indices below the critical point, suggesting a slowdown in demand and production. (2) Price indices increased. Influenced by recent rises in commodity prices, the main material purchase price index and the factory price index were 56.1% and 50.6% respectively, rising by 3.0 and 1.7 percentage points compared to the previous month. The factory price index rose above the critical point for the first time in nearly 20 months, indicating an overall improvement in manufacturing market prices. Industries like metal smelting, electrical machinery, and equipment had price indices above 55.0%, indicating a general increase in material purchase and product sales prices. (3) PMI for large enterprises remains above the critical point. The PMI for large enterprises was 50.3%, still in the expansion zone, showing continued support from large enterprises. PMIs for medium and small enterprises were 48.7% and 47.4% respectively, down by 1.1 and 1.2 percentage points compared to the previous month, indicating a slight decline in economic activity. (4) High-tech manufacturing continues to lead. The PMI for high-tech manufacturing was 52.0%, maintaining a high level above 52.0% for two consecutive months, showing a positive development trend in related industries. The equipment manufacturing PMI was 50.1%, remaining in the expansion zone. PMIs for consumer goods and energy-intensive industries were 48.3% and 47.9% respectively, indicating a slight decline in economic activity. (5) Enterprise expectations remain optimistic. The index for production and operation expectations was 52.6%, remaining above the critical point. Industries such as food processing, food, and alcoholic beverage refining had expectations above 56.0%, indicating strong confidence in industry development. II. Non-manufacturing Business Activity Index declined slightly, financial market activity remains high In January, factors such as the decline in construction industry activity led to a decrease in the Non-Manufacturing Business Activity Index, which was 49.4%, down by 0.8 percentage points compared to the previous month, indicating a slight decline in overall non-manufacturing economic activity. (1) Service industry activity slightly declined. The service industry's business activity index was 49.5%, down by 0.2 percentage points compared to the previous month. Industries like monetary and financial services, capital market services, and insurance had activity indices above 65.0%, indicating high market activity. The real estate industry had an activity index below 40.0%, showing a weak overall economic activity level. The business activity expectations index for the service industry was 57.1%, up by 0.7 percentage points, indicating increased confidence in the market development among service enterprises. (2) Construction industry activity declined. Influenced by factors like recent low temperatures and the upcoming Spring Festival holiday, construction activities slowed down, with the business activity index at 48.8%, down by 4.0 percentage points compared to the previous month. Construction industry activity outlook was below the critical point, indicating cautious expectations among construction industry enterprises. III. The Comprehensive PMI Output Index is slightly below the critical point In January, the Comprehensive PMI Output Index was 49.8%, down by 0.9 percentage points compared to the previous month, indicating a slight slowdown in overall enterprise production and business activities. The Manufacturing Production Index and Non-Manufacturing Business Activity Index made up the Comprehensive PMI, with values of 50.6% and 49.4% respectively. This article is excerpted from the official website of the National Bureau of Statistics, translated by GMTEight: Xiao Shunlan.