China’s factory activity returns to growth as new orders improve

Higher production: An employee working at a charcoal factory in Guangxi. A survey shows China’s factory output expanded to meet new demand, although by a lesser margin. — AFP

BEIJING: China’s factory activity returned to growth in February, buoyed by expanding new orders, a private poll showed yesterday, although employment remained mired in contraction and inflationary pressures intensified.

The Caixin/Markit Manufacturing Purchasing Managers’ Index (PMI) rose to 50.4 in February, pulling away from a two-year low of 49.1 in the previous month. Economists in a Reuters poll had expected the index to edge up to 49.3.