Ratingdog China general manufacturing PMI at 50.5 in August (vs 49.5 in July)

Ratingdog China general manufacturing PMI at 50.5 in August (vs 49.5 in July)

The National Bureau of Statistics (NBS) released its official Manufacturing PMI for August 2025, showing a slight decline from July's figures. The PMI edged up to 49.4, falling short of market forecasts of 49.5 and marking the fifth consecutive month of contraction in factory activity [1].

The August 2025 PMI was a slight miss compared to expectations. The previous month's PMI stood at 49.3, which was already a 3-month low. This latest figure indicates a continuing slowdown in China's manufacturing sector. Several factors are contributing to this trend, including disappointing domestic demand, weighed down by issues such as the heavily indebted property sector, falling home prices, and US tariffs on exports [2].

In contrast, the Non-Manufacturing PMI, which includes services and construction, rose to 50.3, matching central estimates and jumping from July's 50.1. The Composite PMI, which combines manufacturing and non-manufacturing data, also improved to 50.5 from July's 50.2.

Over the next few days, investors and analysts will be closely watching the release of the 'unofficial' Caixin/S&P manufacturing and non-manufacturing PMIs for August, which are expected to provide further insights into the health of China's economy.

The article also notes that the US Federal Appeals Court has ruled that most of Trump's tariffs are illegal, which could potentially ease trade tensions and influence future economic policies in China.

References:
[1] https://www.tradingview.com/news/te_news:481587:0-china-manufacturing-pmi-below-estimates/
[2] https://www.tradingview.com/news/forexlive:4cb4eb614094b:0-china-manufacturing-pmi-august-2025-49-4-expected-49-5-services-50-3-expected-50-3/