Manufacturing Purchasing Managers' Index (PMI) in China by month March 2020
The statistic shows the Purchasing Managers' Index (PMI) in China until March 2020. In March 2020, the PMI resided at about 52.0 percent. An indicator of the economic health of the manufacturing sector, the Purchasing Managers' Index is based on five major indicators: new orders, inventory levels, production, supplier deliveries and the employment environment. An index value above 50 percent indicates a positive development in the industrial sector, whereas a value below 50 percent indicates a negative situation.
Purchasing Managers’ Index – additional information
The Purchasing Managers’ Index, or PMI, was first introduced by the US-based Institute of Supply Management in 1948. It has become one of the most widely used and closely watched indicators of business activities worldwide. The PMI is not only an apt indicator for manufacturing growth, it also supports interest rate decisions of central bank institutions.
In the Euro area, it was a rollercoaster of a year for the average PMI. The index had plunged below 50 points during H1 2019, indicating a decline in the manufacturing sector. In the United States, the monthly PMI had reached 47.2 percent in December 2019, a three-year-low.
As is shown in the graph at hand, the PMI of China as the world’s second-largest economy hovered between 49.2 and 50.5 index points during 2019, but fell considerably in February 2020 due to the coronavirus (COVID-19) pandemic. The non-manufacturing PMI in China experienced a similar development in the beginning of 2020.
Purchasing Managers’ Index – additional information
The Purchasing Managers’ Index, or PMI, was first introduced by the US-based Institute of Supply Management in 1948. It has become one of the most widely used and closely watched indicators of business activities worldwide. The PMI is not only an apt indicator for manufacturing growth, it also supports interest rate decisions of central bank institutions.
In the Euro area, it was a rollercoaster of a year for the average PMI. The index had plunged below 50 points during H1 2019, indicating a decline in the manufacturing sector. In the United States, the monthly PMI had reached 47.2 percent in December 2019, a three-year-low.
As is shown in the graph at hand, the PMI of China as the world’s second-largest economy hovered between 49.2 and 50.5 index points during 2019, but fell considerably in February 2020 due to the coronavirus (COVID-19) pandemic. The non-manufacturing PMI in China experienced a similar development in the beginning of 2020.
