Catenaa, Wednesday, April 02, 2025-China’s manufacturing activity expanded at its fastest pace in a year in March, with new orders driving production growth, offering some relief to the world’s second-largest economy as it faces mounting US trade pressures.
The official manufacturing purchasing managers’ index (PMI) rose to 50.5 in March, up from 50.2 in February, the highest level since March 2024, according to the National Bureau of Statistics.
The non-manufacturing PMI, which includes services and construction, climbed to 50.8 from 50.4.
Stronger domestic demand helped boost orders, with the new orders sub-index rising to a 12-month high of 51.8. However, uncertainty looms as US President Donald Trump prepares to announce new tariffs on Chinese goods.
Trump has already imposed a cumulative 20% tariff on all Chinese imports, citing concerns over trade imbalances and fentanyl exports.
Economists warn that the recent growth may be short-lived.
However, the Chinese government has pledged further fiscal stimulus and monetary easing to counteract trade headwinds, but analysts expect challenges ahead as the US escalates trade restrictions.
