Financial News: China Manufacturing Activity Expands

China Manufacturing Activity Expands

02/02/2026 - 00:45:00 (RTTNews)

(RTTNews) - China's manufacturing activity logged a slightly faster growth in January on higher production and new orders, survey data published by S&P Global showed on Monday.

The RatingDog factory Purchasing Managers' Index rose to 50.3 in January from 50.1 in December.

A score above 50.0 indicates expansion. Although the score remained close to neutral, the index signaled the fastest growth in three months.

Production increased at a faster pace in January, underpinned by rising new business inflows. There was a fresh rise in new export orders largely reflecting increased demand from Southeast Asia.

Manufacturers lifted their staffing levels for the first time in three months in January. Increased workforce capacity and better efficiency helped to reduce outstanding workloads.

Purchasing activity increased as manufacturers purchased additional raw materials and semi-finished goods to meet business requirement. Stocks of finished goods continued to fall as finished goods were shipped out for order fulfillment.

Average input prices continued to rise in January. The rate of input cost inflation was the highest since last September. Manufacturers raised their factory gate charges for the first time since November 2024.

Finally, business confidence remained positive as firms were generally hopeful that the introduction of new products and business growth plans would help to support sales and production growth in the coming twelve months.

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