The well-known Chinese financial site Caixin recently released its official Chinese Manufacturing PMI index number for September, which was 47.2. It is lower than the August number, which was 47.3. Caixin PMI was formerly known as HSBC PMI. It was a well-respected economic indicator monitored globally by financial institutions. The Caixin PMI has been on the decline for seven consecutive months so far. He Fan, Chief Economist at the Caixin Think Tank, observed that the overall Chinese manufacturing industry remains weak, which results mainly from the lack of demand. The key indicator that dragged down the PMI number was industrial output, which means manufacturers were producing fewer products. Total new business and new exports were still on the decline. The number of new export orders suffered a monthly decline, establishing a record since March 2009. The employment level in manufacturing shrank to an 80-month low. PMI (Purchasing Managers Index) is an indicator of financial activity reflecting purchasing managers’ acquisition of goods and services. A PMI number below 50 typically reflects a decline.
Source: Caixin, October 1, 2015