Overview
- The official manufacturing PMI fell from 50.1 to 49.3, undershooting a Reuters poll that expected 50.0.
- Sub-indexes weakened broadly as new orders slid to 49.2, new export orders dropped to 47.8, and the non-manufacturing gauge fell to 49.4, its lowest since December 2022.
- NBS statistician Huo Lihui pointed to insufficient effective demand and a traditional off-season in some industries.
- Beijing has front-loaded 62.5 billion yuan for consumer subsidies and the central bank has cut sector-specific rates while signaling room for reserve-requirement and broader rate reductions.
- Analysts flagged the late Lunar New Year as a factor that may have distorted timing, even as industrial profits rose 5.3% year on year in December and 2025 growth held near 5% with exports a key driver.