China’s service sector slows in August, hitting lowest level in over year
Government relying on growth in services and consumption to rebalance nation’s economy away from its reliance on heavy industry and cheap manufacturing
Growth in China’s services sector slowed in August, hitting the lowest level since May 2016, an official survey showed on Thursday.
In contrast, the survey on manufacturing sector growth accelerated unexpectedly last month, defying expectations.
The official non-manufacturing Purchasing Managers’ Index fell to 53.4, from 54.5 in July, raising fresh questions about the health of China’s services sector.
The Manufacturing Purchasing Managers’ Index stood at 51.7 in August, the China Logistics Information Centre said on its website. That was up from the previous month’s 51.4 and well above the 50-point mark that separates growth from contraction on a monthly basis.
Analysts surveyed by Reuters had forecast the reading would come in at 51.3, easing only marginally from July.