China’s manufacturing PMI falls to 49.3 as factory demand weakens
China’s official manufacturing PMI fell to 49.3 in October from 50.1 in September, returning to contraction for the third time in four months, according to the National Bureau of Statistics. Reuters reports that weaker domestic demand and cooler export orders weighed on activity; the services and construction measure also fell, to 49.7 from 50.2.
Bottom line — China’s 4.5–5.0% growth target remains in view, but analysts say weaker external demand in 2027 could require more support for domestic demand.
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Reuters reported that new orders and new export orders remained in contraction; production and purchasing activity also slipped below the expansion threshold.
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The Jakarta Post cited a Bloomberg survey forecast of 49.9; Reuters’ poll forecast was 50.0.
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According to the National Bureau of Statistics figures reported by Reuters, manufacturing indexes for railway, shipbuilding, aerospace equipment, and computer, communications and electronics were at or above 53.0.
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The Jakarta Post reported that the consumer-goods PMI fell 1.9 percentage points from September.
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Reuters said economists still expected China to meet its annual growth target after third-quarter growth reached 4.5%, up from 4.3% in the second quarter.
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Zhang Zhiwei of Pinpoint Asset Management said weaker external demand in 2027 would make more significant support for domestic demand necessary.