Growth

China continues to shrink course

The mood in China’s industrial enterprises has further deteriorated. In February, both the private economy magazine “Caixin” raised the purchasing managers ‘ index as well as its state counterpart fell.

The Chinese industry has shrunk in February, and surprisingly strong. The on Tuesday released the official purchasing managers ‘ index fell to a value of 49.0 compared to a 49.4 in the previous month. Any value below 50 indicates a contraction. Thus, the Chinese industry is weakening, the seventh month in a row. Economists had expected only a slight deterioration to 49.3. The February figure is the lowest since November 2011.

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Also on Tuesday published a private Caixin/Markit purchasing managers ‘ index signaled a continuation of the economic crisis, in addition to Japan most important Asian economy. He also fell more than expected in February to a value of 48. Economists had expected a value of 48.3.

While the official PMI is based on a survey of 3000 large enterprises to be interviewed for the Caixin-Index consists primarily of small and medium-sized companies.

Industry struggles with Overcapacity

The Chinese industrial companies, therefore, have to be the fastest pace in seven years, jobs. For the avoidance of doubt grow whether the government succeeds, the Overcapacity in the industry reduce, without at the same time a strong increase of the unemployment trigger. On Monday, the government had announced in Beijing, to the melting of the Overcapacity in the coal and steel industry to 1.8 million workers to be dismissed. A timetable was not mentioned.

Unlike the industry of the service sector could grow more easily. The official purchasing managers ‘ Index for the sector rose in February to 52.7, but that is the slowest pace since 2008, the peak of the global financial crisis. In January, the services purchasing managers ‘ index was 53.5 of.

iw/whom (rtr, dpa)