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The manufacturing sector in China moved back into expansion territory in February, the latest survey from Caixin revealed on Wednesday with a PMI score of 51.6.
That's up from 49.2 in January, and it moves above the boom-or-bust line of 50 that separates expansion from contraction.
The higher headline index reading was supported by a renewed increase in production volumes in February. This marked the first upturn in output since last August, with the rate of expansion the steepest since June 2022.
Firms frequently mentioned that the recent easing of COVID-19 containment measures and recovery of operations and client demand had underpinned the increase in production. Similarly, total new business expanded for the first time in seven months, and at the quickest rate since May 2021.
