China's economic acitivty improves as PMIs return to expansion

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Workers operate an automated production line making socks for export in Qingdao, Shandong Province, September 16, 2026. /VCG

China's economic activity showed signs of improvement in September, with key business activity indicators returning to expansion territory, according to data released by the National Bureau of Statistics on Wednesday.

The manufacturing PMI rose 0.3 percentage points to 50.1, moving back above the 50-point mark that separates growth from contraction. The non-manufacturing PMI climbed 1.2 percentage points to 50.2, while the composite PMI output index also rose 1.2 percentage points to 50.7.

Manufacturing activity strengthened, with the production index rising 1.3 percentage points to 51.7, said Huo Lihui, chief statistician at the bureau's service survey center. The new orders index remained in expansion territory at 50.5.

High-tech manufacturing, equipment manufacturing and consumer goods manufacturing continued to expand, with PMIs at 52.5, 51.0 and 50.7, respectively.

Tourists stroll and take photos along Zhonglou Street, a pedestrian street in Taiyuan, Shanxi Province, September 27, 2026. /VCG

Services activity also returned to expansion, with its PMI rising 0.9 percentage points to 50.2. The construction PMI jumped 3.4 percentage points to 50.3, the highest level this year, Huo said.

Conditions among smaller manufacturers also improved. The PMI for medium-sized and small enterprises rose to 49.7 and 48.9, up 0.3 and 1 percentage points, respectively.

Overall, the September data pointed to a pickup in business activity across both manufacturing and non-manufacturing sectors, Huo said.