China’s Factory Activity Soars in April, Yet Growth Momentum Slows as New Orders Weaken

Industrial output in China demonstrated resilience last month, with factory activity surpassing analysts’ expectations despite emerging signs of a cooling economy. The official Purchasing Managers’ Index (PMI) edged above the forecast, highlighting that manufacturers continue to navigate challenges such as rising input costs and fluctuating demand. Key sectors including electronics, automotive, and machinery saw stable production levels, underscoring a persistent – if moderated – growth momentum in the world’s second-largest economy.

However, beneath the surface, the data revealed softer new order inflows, suggesting that demand may be weakening amid ongoing global uncertainties and domestic policy shifts. Key points from the report include:

• New export orders moderated, reflecting persistent headwinds in international trade.
• Input price inflation showed signs of easing, potentially alleviating cost pressures for…