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China's Factory Activity Dips in January, Ending Three-Month Expansion
Scmp.com
- China's factory sector saw contraction in January after three months of growth.
- January PMI dropped to 49.1, indicating contraction, down from 50.1 in December.
- Lunar New Year preparations slowed factory operations as workers returned home early.
- Senior statistician Zhao Qinghe noted the slowdown was due to the holiday season.
- Despite slowdown, businesses expect post-holiday growth in factory activity.
- Both manufacturing and non-manufacturing outlooks remain positive above 55.
- Potential U.S. tariff hikes add to economic uncertainty for Chinese businesses.
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