China’s Lockdowns Hit Manufacturing in March

Source: National Bureau of Statistics

China’s purchasing managers’ indexes slipped in March, dragged by the shutdown of its technology and trade and automotive centers. MCHI is down 1.48% premarket.

• The Comprehensive PMI Output Index for the month stood at 48.8, down from 51.2 in February and 55.3 in March 2021.
• The Manufacturing Purchasing Managers’ Index was recorded at 49.5, lower than the 50.2 in the previous month and 51.9 the same month last year.
• Declines were recorded in production, new orders, new export orders, in hand orders, purchasing volume, imports, and raw materials inventory.
• Increases were seen in finished goods inventory, producer prices, raw material purchase price, employment, and supplier delivery time.
• A slight decline was also recorded in the production and business activity expectations, which dropped to 57.8 from 57.9 in February.
• China locked down major hubs Shenzen and Changchun due to the reimplementation of COVID-19 restrictions, amid the resurgence of cases.