Data released by the National Bureau of Statistics on Sept. 30 showed China's manufacturing purchasing managers' index (PMI) stood at 50.1 percent in September, up 0.3 percentage points from the previous month and back in expansion territory after two months.
The non-manufacturing business activity index and the composite PMI output index came in at 50.2 percent and 50.7 percent respectively, with all three above the 50-point threshold. The improving trend drew wide attention from overseas media, with several outlets calling the data "hopeful signals."
Reuters reported under the headline "AI boom keeps China's factory activity expanding in September" that manufacturing operated well as extreme weather effects faded, with the booming artificial intelligence industry pushing up the production index and broadening the expansion across the sector.
"The rollout of China's new policy-based financial instruments is paying off and the economy is regaining momentum," Reuters wrote, expecting more industrial resources to flow into strategic priorities such as AI, technological self-reliance and industrial upgrading.
The Wall Street Journal reported under the headline "China's PMI shows improvement across industries" that the economy showed clear signs of improvement at the end of the third quarter, with manufacturing, services and construction all back above the threshold, indicating demand remained strong despite the negative impact of the U.S.-Iran conflict on the global economy.
Citing S&P data, the Journal said services grew at an accelerating pace for a second consecutive month, with service providers generally optimistic about the year ahead and expecting stronger market conditions to support expansion plans and new projects. The services confidence index rose from August and hit its highest level so far this year.
"The return to expansion in manufacturing is a positive signal for China's economy," the Associated Press wrote, noting the PMI increase matched economists' expectations and that several industries are in expansion territory.
AP quoted ING economist Song Lin as saying "external demand drove the growth in China's manufacturing."
Spain's EFE news agency reported under the headline "China's manufacturing activity accelerates in September" that expansion reached its fastest pace since April, supported by strong customer demand and rising capacity. EFE also noted that China's construction business activity index stood at 50.3 percent, entering expansion territory for the first time this year.
