Survey finds China manufacturing shrank in May
A view of the Central Business District is reflected on a window in Beijing on September 3, 2012. AFP FILE PHOTO
HONG KONG — A survey has found that China’s manufacturing shrank slightly last month. The report adds to signs of an uncertain recovery in the world’s second-biggest economy.
HSBC’s monthly purchasing managers index fell to 49.2 in May. That’s down from 50.4 in April. Readings below 50 indicate a contraction.
It’s the first time the index has fallen below 50 since October, although the report said the deterioration was “marginal.”
The survey is based on responses from 420 manufacturing companies.
Economic growth in China slowed unexpectedly in the first three months of the year, dipping to 7.7 percent from the 7.9 percent in the previous quarter. Forecasters have cut their growth outlooks for this year.
On Saturday, a similar survey by a different group found manufacturing ticked up slightly.
