Audio By Carbonatix
Growth in China's vast manufacturing sector stalled for the first time in over two years in November as new orders shrank, adding pressure on Beijing ahead of high-stakes trade talks between presidents Xi Jinping and Donald Trump this weekend.
The official Purchasing Managers' Index (PMI), released on Friday, fell to 50 in November, missing market expectations and down from 50.2 in October.
The 50-point mark is considered neutral territory, indicating no growth in activity or contraction on a monthly basis.
Analysts surveyed by Reuters had forecast the official gauge would hold steady from October's low level, suggesting marginal growth.
The downbeat reading on China's factory activity came a day ahead of a closely watched dinner meeting between Trump and Xi on the sidelines of a G-20 summit in Buenos Aires, their first meeting since the two nations began imposing tariffs on each other's goods earlier this year.
But few market watchers expect a major breakthrough in the trade dispute, as neither side has indicated any intention of making major concessions.
The Trump administration has pointed to growing signs of economic weakness in China and its slumping stock markets as proof that the United States is winning the trade war.
White House economic adviser Larry Kudlow said on Tuesday that Trump is ready to hike tariffs and could add duties on another $267 billion of Chinese imports if there is no breakthrough in the meeting.
The China PMI survey showed further weakness in new orders from at home and abroad.
The production sub-index fell to 51.9 in November from 52 in October, while a new orders sub-index — an indicator of future activity — declined to 50.4 from 50.8.
New export orders shrank for a sixth straight month. The sub-index rose marginally to 47 from 46.9 in October.
Chinese manufacturers' import orders also shrank, falling to 47.1 from 47.6 in October and reflecting weakening domestic demand.
China's exports have been surprisingly resilient so far this year as shippers rush out goods to beat U.S. tariffs, but orders have been slumping for months, raising the risk of a sharp drop soon if the U.S. raises tariffs as planned on Jan. 1.
Another sister survey released by the NBS on Friday showed growth in China's service sector moderated in November, but remained at solid levels. The official non-manufacturing Purchasing Managers' Index (PMI) dipped to 53.4 from 53.9 the previous month.
Latest Stories
-
2026 U-20 WWC: ‘Not all wishes come true’ – Gyan inspires Black Princesses after elimination
2 minutes -
‘I am not a magician’ – Zdravko Logarušić on Nations FC exit from Africa
16 minutes -
Three nights. 28 titles. Ultimate history made
26 minutes -
Ghanaian delegates at IYF 2026 could become bridges for stronger Russia ties – John Aggrey
30 minutes -
Nigeria: Over 30 dead, 50 hospitalised after consuming alcoholic substance in Ondo State
33 minutes -
UK lawmakers demand new law to address AI threat to human rights
42 minutes -
WAFU B U-17 Girls Cup: Black Maidens depart Accra for tournament in Yamoussokro
42 minutes -
Sweden’s center-left bloc narrowly ahead as election remains too close to call
53 minutes -
GPL 2026/27: ‘We won ugly’ – Kotoko head coach unimpressed after Lions victory
56 minutes -
7 out of 10 human trafficking cases in Ghana never reach prosecution — JoyNews Research
1 hour -
Music, football to converge at Music Meets Football Summit 2026 in Lusaka
1 hour -
Putin invites young global leaders to partner with Russia in shaping future world order
1 hour -
Putin calls for ‘just world’, says every nation must be free to choose its own path
1 hour -
IFY 2026 food festival to serve 20,000 meals showcasing global cuisines in Russia
2 hours -
Ghana has a Domestic Violence Act: But can a victim afford to use it?
2 hours