In February this year, the China HSBC Flash Manufacturing Purchasing Managers Index (PMI) decreased to 48.3, the lowest level of the past seven months, down from January's final reading of 49.5, as announced by the HSBC on February 20.
Hongbin Qu, the HSBC's chief economist for China, said that the decrease in the PMI is mainly due to seasonal factors and sluggish demand in China's manufacturing sector. He went on to say that in 2014 demand in overseas markets may witness a recovery, which would boost China's export business. Meanwhile, favorable government policy is expected to provide support for the stability of China's manufacturing PMI in March.