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In March 2025, China's factory sector saw its best growth in a year with Manufacturing PMI rising to 50.5 from 50.2 in February. The higher Production Sub-Index (52.6) and New Orders Sub-Index (51.8) helped support the expansion, evidencing increased production activity and an increase in demand. The Employment Component fell to 48.2, evidence of job loss in the factory sector.
The Non-Manufacturing PMI was also higher, up to 50.8 from 50.4 in February and above forecast. Growth encompasses services and building, thus a broader economic recovery than manufacturing. An increase in the Non-Manufacturing PMI reflects rising stability in non-manufacturing activity.
Composite PMI manufacturing and non-manufacturing was at 51.4 for March, as against 51.1 in February. Gross increase means that the economy has some resilience despite outside trade adversity, though there are still some places of adversity, e.g., manufacturing staff employment and in services. Composite index shows that China's economy is still resilient even though there is some adversity in the economy
