China’s NBS Manufacturing PMI bounced back 1.1 pts to 50.2 in February, above expectations of 49.9.

• The Production index increased 2.7 pts to 52.5, the highest since April 2024.
• The New Order index also improved to the highest since April 2024, up 1.9 pts to 51.1.
• Export orders were declining at the slowest rate since August 2024.
• Manufacturing purchases growth was positive and the largest since March 2024.

China’s NBS Non-Manufacturing PMI improved 0.2 pts to 50.4, signaling slight growth in February and slightly above expectations of 50.3.

• While business activity was increasing slightly, the New Orders index remained in deterioration, down -0.3 pts to 46.1.
• The Sales Price index was 47.8, the weakest since September 2024.
• The construction activity index drove the growth in the non-manufacturing sector, jumping 3.4 pts to 52.7.
• The service sector activity index moved from minor growth to flat, down -0.3 pts to 50.0

With improvements in both the manufacturing and construction sector, general Chinese economic growth accelerated from an anemic pace to a moderate expansion as the NBS Composite PMI grew 1.0 pts to 51.1.