Chinese manufacturing weakens amid COVID-19 outbreak

Dec 30, 2022, 11:04 PM | Updated: 11:06 pm
FILE - Shoppers walk through a reopened shopping mall after authorities started easing some of the ...

FILE - Shoppers walk through a reopened shopping mall after authorities started easing some of the anti-virus controls in Beijing on Dec. 6, 2022. Chinese manufacturing weakened for a third consecutive month in December, in the biggest drop since early 2020, as the country battles a nationwide COVID-19 surge after suddenly easing its anti-epidemic measures. (AP Photo/Andy Wong, File)

(AP Photo/Andy Wong, File)

BEIJING (AP) — Chinese manufacturing contracted for a third consecutive month in December, in the biggest drop since early 2020, as the country battles a nationwide COVID-19 surge after suddenly easing anti-epidemic measures.

A monthly purchasing managers’ index declined to 47.0 from 48.0 in November, according to data released from the National Bureau of Statistics on Saturday. Numbers below 50 indicate a contraction in activity.

The contraction was the biggest since February 2020, when the COVID-19 pandemic had just started.

The weakening comes as China earlier this month abruptly relaxed COVID-19 restrictions after years of attempts to stamp out the virus. The country of 1.4 billion is now facing a nationwide outbreak and authorities have stopped publishing a daily tally of COVID-19 infections.

Several other sub-indexes, including for large enterprises, production and demand in the manufacturing market also dropped compared to November.

“Some surveyed companies reported that due to the impact of the epidemic, the logistics and transportation manpower was insufficient, and delivery time had been extended,” said Zhao Qinghe, a senior economist at the statistics bureau in a published analysis of the December data.

According to data from the bureau, sectors including construction saw expansion in December together with sub-indexes that measure industries such as air transport, telecommunications, and monetary and financial services.

The purchasing managers’ index for China’s non-manufacturing sector also fell to 41.6 in December, down from 46.7 in November.

China is likely to miss its goal of 5.5% economic growth this year, with forecasters cutting their outlook to as low as 3% in annual growth, which would be the second weakest since at least the 1980s.

Copyright © The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

AP

Associated Press

Germany hopes to get ‘green hydrogen’ from Australia by 2030

BERLIN (AP) — A senior German official said Friday that she hopes her country will receive hydrogen made with renewable energy from Australia by 2030. The two countries have stepped up plans for cooperation on clean energy as Germany tries to find replacements for Russian gas supplies while pursuing an ambitious policy of reducing its […]
4 hours ago
Associated Press

Low-cost fashion chain H&M reports 4th-quarter loss

STOCKHOLM (AP) — Low-cost fashion brand H&M said Friday that shutting down its business in Russia and Belarus had a significant negative impact on its results, while increases in the costs of raw materials and freight and a strong U.S. dollar made purchases more expensive. The Sweden-based group said its net profit for the year […]
4 hours ago
FILE- Adani Group Chairman Gautam Adani attends the 'Invest Karnataka 2016 - Global Investors Meet'...
Associated Press

Adani mulls suing US short-seller as shares sink up to 20%

NEW DELHI (AP) — India’s Adani Group launched a share offering for retail investors Friday as it mulled taking legal action against U.S.-based short-selling firm Hindenburg Research over a report that led investors to dump its shares, with some stocks in the group falling up to 20% on Friday. The market value of Adani’s companies […]
4 hours ago
A currency trader passes by the screens showing the Korea Composite Stock Price Index (KOSPI), left...
Associated Press

Global shares edge higher, tracking Wall Street rally

TOKYO (AP) — Global shares advanced Friday, tracking a rally on Wall Street following reports suggesting the economy and corporate profits may be doing better than feared. France’s CAC 40 gained 0.2% to 7,107.44. Germany’s DAX was unchanged at 15,134.04, while Britain’s FTSE 100 rose nearly 0.2% to 7,773.10. The future for the Dow Jones […]
4 hours ago
Senate Appropriations Committee ranking member Sen. Susan Collins, R-Maine, left, and Senate Approp...
Associated Press

5 women, immense power: Can they keep US from fiscal brink?

WASHINGTON (AP) — They are now among the most powerful women in Congress. But when they were first elected in the 1990s, they were often overlooked, or even talked down to. Rep. Kay Granger, R-Texas, remembers that men would avoid asking her questions, addressing other men in the room instead. Rep. Rosa DeLauro, D-Conn., says […]
1 day ago
FILE - An employee adds drops of water-soluble CBD, or cannabidiol, an essential component of medic...
Associated Press

Hong Kong to ban CBD, label it a ‘dangerous drug’

HONG KONG (AP) — Hong Kong will ban CBD starting Wednesday, categorizing it as a “dangerous drug” and mandating harsh penalties for its smuggling, production and possession, customs authorities announced Friday. Supporters say CBD can treat a range of ailments including anxiety and that, unlike its more famous cousin THC — which is already illegal […]
1 day ago

Sponsored Articles

(Pexels Photo)...

Sports gambling can be fun for adults, but it’s a dangerous game for children

While adults may find that sports gambling is a way to enhance the experience with more than just fandom on the line, it can be a dangerous proposition if children get involved in the activity.
...
Fiesta Bowl Foundation

Celebrate 50 years of Vrbo Fiesta Bowl Parade magic!

Since its first production in the early 1970s, the Vrbo Fiesta Bowl Parade presented by Lerner & Rowe has been a staple of Valley traditions, bringing family fun and excitement to downtown Phoenix.
...
Quantum Fiber

How high-speed fiber internet edges out cable for everyday use

In a world where technology drives so much of our daily lives, a lack of high-speed internet can be a major issue.
Chinese manufacturing weakens amid COVID-19 outbreak