The National Bureau of Statistics: In August, the manufacturing Purchasing Managers' Index (PMI) was 49.8%, an increase of 0.6 percentage points from last month, indicating a recovery in the economic climate.

August 31, the National Bureau of Statistics released the operating situation of China's Purchasing Managers' Index (PMI) for August 2026. In August, the manufacturing PMI was 49.8%, an increase of 0.6 percentage points from the previous month, indicating a recovery in economic conditions. From the perspective of enterprise size, the PMI for large enterprises was 50.6%, an increase of 1.1 percentage points from the previous month, above the critical point; the PMI for medium-sized enterprises was 49.4%, a decrease of 0.3 percentage points from the previous month, below the critical point; and the PMI for small enterprises was 47.9%, an increase of 0.5 percentage points from the previous month, below the critical point. In terms of sub-indices, among the five sub-indices that constitute the manufacturing PMI, the production index, new orders index, and supplier delivery times index were all above the critical point; the raw materials inventory index and employment index were below the critical point. The production index was 50.4%, an increase of 0.5 percentage points from the previous month, indicating a slight acceleration in manufacturing activity. The new orders index was 50.6%, an increase of 2.1 percentage points from the previous month, indicating a significant improvement in market demand for manufacturing. The raw materials inventory index was 48.1%, a decrease of 0.2 percentage points from the previous month, indicating continued decline in the inventory of major raw materials in manufacturing. The employment index was 48.7%, a decrease of 0.3 percentage points from the previous month, indicating a decline in hiring sentiment within manufacturing enterprises. The supplier delivery times index was 50.1%, an increase of 0.6 percentage points from the previous month, indicating quicker delivery times from suppliers of raw materials to manufacturing firms. II. Operating Situation of Chinas Non-Manufacturing PMI In August, the non-manufacturing business activity index was 49.0%, unchanged from the previous month. By industry, the business activity index for the construction sector was 46.9%, a decrease of 0.1 percentage points from the previous month; the business activity index for the services sector was 49.3%, unchanged from the previous month. Within the services sector, industries such as postal, telecommunications, broadcasting and television, satellite transmission services, internet, software, and information technology services had business activity indices above 55.0%, indicating a higher level of economic prosperity; while industries such as wholesale, retail, and capital market services had business activity indices below the critical point. The new orders index was 44.1%, a decrease of 0.3 percentage points from the previous month, indicating a decline in the market demand level for non-manufacturing. By industry, the new orders index for the construction sector was 42.4%, an increase of 2.3 percentage points from the previous month; the new orders index for the services sector was 44.5%, a decrease of 0.7 percentage points from the previous month. The input prices index was 51.1%, an increase of 1.4 percentage points from the previous month, indicating that the overall prices of inputs used in operating activities by non-manufacturing enterprises have risen. By industry, the input prices index for the construction sector was 51.2%, an increase of 2.5 percentage points from the previous month; the input prices index for the services sector was 51.1%, an increase of 1.2 percentage points from the previous month. The sales prices index was 49.3%, an increase of 1.4 percentage points from the previous month, still below the critical point, indicating that the decline in the overall sales prices of non-manufacturing enterprises has narrowed. By industry, the sales prices index for the construction sector was 49.8%, an increase of 2.1 percentage points from the previous month; the sales prices index for the services sector was 49.2%, an increase of 1.3 percentage points from the previous month. The employment index was 45.4%, unchanged from the previous month and below the critical point, indicating that the hiring sentiment within non-manufacturing enterprises remains weak. By industry, the employment index for the construction sector was 43.0%, an increase of 2.1 percentage points from the previous month; the employment index for the services sector was 45.8%, a decrease of 0.4 percentage points from the previous month. The business activity expectation index was 55.0%, a decrease of 0.4 percentage points from the previous month, still above the critical point, indicating that non-manufacturing enterprises remain optimistic about market development. By industry, the business activity expectation index for the construction sector was 51.8%, unchanged from the previous month; the business activity expectation index for the services sector was 55.5%, a decrease of 0.5 percentage points from the previous month. III. Operating Situation of China's Comprehensive PMI Output Index In August, the comprehensive PMI output index stood at 49.5%, an increase of 0.2 percentage points from the previous month, indicating an overall recovery in the production and operational prosperity level of Chinese enterprises. This article is reproduced from the National Bureau of Statistics, GMTEight editor: Chen Siyu.