China business activity (PMI) index in the industrial sector in November decreased to 48 points. This is the worst indicator of industrial activity in the PRC since April, Reuters writes with reference to the country’s state statistical administration.
It is noted that the industrial activity of the PRC is reduced for the second month in a row. PMI above 50 points reflects the growth of activity, and lower – its slowdown. PMI services in November fell to 46.7 points, also the maximum pace since April.
The Chinese economy began serious problems due to the growth of the incidence of COVID-19 and the introduction of strict quarantine measures in many regions of the country. This entailed the closure of factories.
“The Citual with the virus continues to deteriorate and will greatly affect the economy in 2023,” said Capital Economics economist in China Shean Yue.
Automobiles encountered a shortage of components in China due to the tough policy of the authorities to limit the distribution of Covid-19, which forced the company to close production lines and stop the work of entire factories.