Feb. 6, 2012 (China Knowledge) - China
's non-manufacturing purchasing managers' index (PMI), a major indicator of the strength of the non-manufacturing sector, dropped to 52.9 in January this year, down 3.1 points from December 2011, according to figures released by the China
Federation of Logistics and Purchasing (CFLP).
A reading on index above 50 indicates expansion, while the index below 50 indicates contraction.
Cai Jin, Vice President of the CFLP, said that decline in the non-manufacturing PMI indicated a slowing non-manufacturing sector, partially due to a sharp decrease in the construction sector.
The new order index decreased 2.0 points from December 2011 to 48.5 last month. The new order index in consumer service sector was 53.3, followed by 49.7 in the producer service sector and 32.1 in the construction sector respectively.
The new export order index went down 0.6 points from December last year to 45.8 in January 2012. The new export order index in the consumer service sector was 49.1 last month, followed by 46.5 in the construction sector and also 42.5 in the producer service sector.
The non-manufacturing PMI is based on a survey of about 1,200 firms in 20 industries, including transport, real estate, retailing, catering and software.