China's National Bureau of Statistics reported that the December 2024 manufacturing Purchasing Managers' Index (PMI) was 50.1, remaining in the expansion zone, above 50 but slightly below November's 50.3 and market expectations of 50.2. This marked a dip after three months of consecutive growth. In contrast, the non-manufacturing business activity index rose to 52.2, up by 2.2 points from November, signaling significant recovery and exceeding expectations.

The Comprehensive PMI output index climbed to 52.2, a 1.4-point increase from the previous month, reflecting improved production and business activity. The market participant highlighted continued expansion in supply and demand, strong performance in consumer goods and equipment manufacturing, and recovery in the service and construction sectors as key drivers.

While holiday effects may cause short-term fluctuations in early 2025, recovery momentum will persist, supported by stabilization in real estate, robust high-tech manufacturing, and resilient overseas demand.