A staff works on the production line at a weaving workshop in an economy development zone in Lianyungang, Jiangsu province, on Oct 19, 2020. (PHOTO / XINHUA)

BEIJING - The purchasing managers' index (PMI) for China's manufacturing sector came in at 50.1 in August, but still in the expansion zone, data from the National Bureau of Statistics (NBS) showed Tuesday.

The PMI reading edged down from 50.4 in July, due to factors such as domestic COVID-19 cases and the flood situation in recent days, Zhao Qinghe, a senior NBS statistician said Tuesday

A reading above 50 indicates expansion, while a reading below reflects contraction.

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The PMI reading edged down from 50.4 in July, due to factors such as domestic COVID-19 cases and the flood situation in recent days, Zhao Qinghe, a senior NBS statistician said Tuesday.

The sub-index for production stood at 50.9 in August, down 0.1 percentage points from a month earlier, indicating the stable expansion of production in the manufacturing sector.

During the period, market demand has weakened with the sub-index for new orders down 1.3 percentage points from the previous month to 49.6, according to the data.

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Non-manufacturing PMI down in August

The purchasing managers' index (PMI) for the nation's non-manufacturing sector came in at 47.5 in August, down from 53.3 in July, the NBS said.

It was the first time the figure fell below the boom-bust line since March last year, said Zhao.

A breakdown of the data shows that the sub-indexes for sectors including road and air transportation, hotels, catering, culture, sports and entertainment dropped below the boom-bust line.

The sub-index for new orders declined 7.5 percentage points from a month earlier to 42.2, indicating weaker market demand in the non-manufacturing sector.

However, the construction industry recorded strong performances as construction activities picked up, with the sub-index for business activities rising to 60.5 in August, up 3 percentage points from a month earlier.

The sub-indexes for business activities in the wholesale, postal, telecommunications, satellite transmission, and financial and capital market services sectors remained in the expansion territory, according to Zhao.

on-manufacturing firms' confidence in the market remained generally stable as the country has effectively curbed the recent resurgence of COVID-19, Zhao said, citing a sub-index measuring business activity expectations, which stood at 57.4.