In response to recent Chinese Federation of Logistics and Purchasing (CFLP) released in August 2010 china Manufacturing Purchasing Managers Index (PMI), Chinese Academy of Macroeconomic Research Office Institute of Economic Research, said Zhang Xiaojing, August PMI 51.7% over the previous rose 0.5 percentage points, shows that the Chinese economy as a whole in the expansion, economic growth in a rising channel.
Xiaojing said that, usually, PMI index over 50%, reflecting the overall economic expansion; below 50%, reflecting the economic recession. From the Aug. 11 China's PMI sub-index, China's economy has seen steady and slight increase in the basic trend.

Ibid month compared to August production index, new orders, new export orders index, the backlog of orders index, the purchase price index, index of supplier delivery time has increased, including new orders, new export orders index, the backlog of orders index, the purchase price index increase of more than 1 percentage point, particularly in the purchasing price index showed the largest increase of 10.1 percentage points.

Previously, PMI index has continued to decline in three months 5,6,7, and in July to a record 17 months low of 51.2%, the market for the future trend of China's economy had a worry.

China Federation of Logistics and Purchasing, Vice President Cai believes that since the PMI index for May was due to specific analysis one in May, June was mainly caused by the new orders index fell, while the July manufacturing PMI fell down was caused by the elimination of backward production capacity makes the production index for the month decreased greatly, which is the result of macro-control.

experts said that the Chinese economy overall is in expansion, four from the PMI data to examine specific aspects.

First, the new orders index rebounded. August new orders index was 53.1%, up 2.2 percentage points from the previous month. 20 industries, agro-food processing and food manufacturing, petroleum processing and coking industry, the special equipment manufacturing industry, beverage industry, tobacco industry and other industries more than 50%.

Second, the production index steadily risen moderately. Aug. production index was 53.1%, up 0.4 percentage points last month. 20 industries, beverage manufacturing, fabricated metal products, petroleum processing and coking industries reached 50%.

8 on new export orders index was 52.2%, up 1 percentage point last month.

Third, the finished goods inventory index continued to decline, to expand. 8 to produce finished goods inventory index was 46.9%, down 3.0 percentage points from last month. Sub-industry perspective, the 20 industries, oil processing and coking industry, chemical fiber and rubber and plastic products manufacturing industries than 50%. Communications equipment, computers and other electronic equipment manufacturing less than 50%.

Fourth, the purchase price index rebounded sharply. Purchasing price index for the month, 60.5%, an increase of 10.1 percentage points over the previous month. Sub-industry perspective, the 20 industries, oil processing and coking industry is only less than 50%, 50% higher than the rest of the industry, of which 11 industries more than 60%. View by product type, the middle class enterprise products and consumer goods are more than 60%; raw materials and energy and the production of finished lower class enterprises were 59.1% and 57.2%.

present, the overall expansion of China's economic trend, economic growth in the market may worry about the depth of pre-callback is a timely correction. China Federation of Logistics and Purchasing special analyst Zhang Liqun said:" The August PMI index indicates a slight pick-up the depth of the Chinese economy will not call back. From the demand to support economic growth factors, the strong recovery in exports this year, roughly stable consumption growth , the investment growth rate has dropped slightly, but growth levels are still above 20%. Currently, the national economy more stable situation, continue towards the expected direction of macro regulation and control, August PMI index reflects the changes in this trend."

In addition, Zhang Liqun, a reminder, in August a substantial increase in purchasing price index, may be a considerable pressure on business costs, but also to the CPI with to pressure. Sub-industry perspective, the price index increased rapidly mainly agricultural processing industry and food processing industry.

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