Apr. 2, 2012 (China Knowledge) - China's official purchasing managers' index (PMI), a major indicator of the strength of the manufacturing sector, increased by 2.1 points from February to 53.1 in March, according to figures jointly released by the China Federation of Logistics and Purchasing (CFLP) and the National Bureau of Statistics
The PMI for last month was the highest level in 12 months and reflecting an increase for the fourth consecutive month.
CFLP analyst Zhang Liqun said that a further rebound in PMI last month indicated that China's economic growth is recovering.
The new order index saw the biggest increase of 4.1 points from the previous month to 55.1. The production index rose 1.4 points from February to 55.2 in March.
The new export order index rose 0.8 points month on month, hitting 51.9 last month, and the import index grew 0.7 points to 51.5.
The purchase price index saw a continued increase of 1.9 points in March, reaching55.9 points.
The PMI, based on surveys on purchasing managers of 820 enterprises across the country, consists of five sub indices that measure economic performance: production index, new order index, raw material inventory index, employment index and supplier delivery index. A reading of above 50 suggests expansion, while a reading of below 50 indicates contraction.