In March, The PMI Recovery Of Caixin Manufacturing Industry Increased.

In April 1st, Caixin China's Manufacturing Purchasing Managers Index (PMI), which was released in March, recorded 50.1, a 9.8 percentage point rise over the February historical low, indicating that the boom in the manufacturing sector has basically stabilized. This trend is consistent with the PMI of the National Bureau of statistics. The PMI released by the National Bureau of statistics in March was 52, up 16.3 percentage points from the previous month.

Judging from the PMI classification index of Caixin manufacturing industry, the new order index in March increased significantly compared with February, and the employment index also rose significantly in the contraction area. It has returned to the central level before the epidemic, and the purchasing inventory index has been restored in the contraction area.

In addition, the price of raw materials returned to the contraction area, but the decline was slight. Many companies say that the drop in costs is related to the weakening of global demand. Manufacturers also continue to lower the price of products to boost sales. However, the supply chain of manufacturing industry in March is still tense. Enterprises reflect the shrinking of suppliers' capacity and shortage of raw materials, resulting in a further slowdown in the average supply speed of suppliers.

It is worth mentioning that the expectation that demand will rebound after the improvement of the epidemic situation has been boosted. Chinese manufacturing industry generally has confidence in the future production.

Zhong Zhengsheng, chairman and chief economist of the new financial think-tank, said that the manufacturing industry suffered double pressure in March. On the one hand, the resumption of labor and production is not enough; on the other hand, the expansion of production is still relatively limited, and there is no obvious compensation for production. However, entrepreneurs' confidence is still relatively high, and employment absorption basically revert to the level before the epidemic, which has laid a good foundation for the rapid restoration of the economy after the outbreak.