China’s Manufacturing Activity Shrinks for Third Month Amid Covid Controls, Caixin PMI Shows

Activity in China’s manufacturing sector contracted for the third straight month in May, though at a slower pace, a Caixin-sponsored survey showed Wednesday, as manufacturers expressed the least optimism in five months amid stringent Covid-19 control measures.

The Caixin China General Manufacturing Purchasing Managers’ Index (PMI), which gives an independent snapshot of the country’s manufacturing sector, rose to 48.1 in May from 46 the previous month, the survey showed. A number above 50 signals an expansion in activity, while a reading below that indicates a contraction.