Activity in China’s manufacturing sector unexpectedly expanded at the fastest pace in nearly five years in March, adding to evidence that the world’s second-largest economy has gained momentum early this year, an official survey showed on Friday.
The official Purchasing Managers’ Index rose to 51.8 in March from the previous month’s 51.6, and was well above the 50-point mark that separates growth from contraction on a monthly basis.
The reading was stronger than the 51.6 that economists had expected and the highest since April 2012.
China has reported a slew of upbeat data so far this year, even as Beijing tries to rein in speculative bubbles in the red-hot property market and control risks in the broader financial market from years of debt-fuelled stimulus.
A surprise rebound in home sales and stronger infrastructure investment have added fresh impetus to a months-long construction boom that has lifted demand for building materials from cement to steel and helped reflate prices of industrial commodities worldwide.