China’s Private Factory Gauge Plunges to Weakest Since 2022
China and the US agreed to reduce tariffs for 90 days beginning May 14.
Photographer: Li Chaoqing/China News Service/VCG/Getty Images
China’s manufacturing sector had its worst slump since September 2022, according to a private survey, as higher tariffs took a toll on smaller exporters despite a truce in the trade war with the US.
The Caixin manufacturing purchasing managers’ index fell to 48.3 in May from 50.4 in the prior month, according to a statement released by Caixin and S&P Global on Tuesday, well below the 50 mark separating expansion from contraction. The figure was below every estimate in a Bloomberg survey of analysts, whose median was 50.7.