China factory activity improves in June but exports weak

A survey shows China's factory activity improved in June in another sign the economy is gradually recovering after anti-virus controls were relaxed but export demand was weak

BEIJING -- China’s manufacturing activity improved in June after anti-virus controls were eased to revive the economy but export demand was weak, a survey released Tuesday showed.

A monthly purchasing managers’ index released by the government statistics agency and an industry group rose to 50.9 from May’s 50.6 on a 100-point scale on which numbers above 50 show activity expanding.

The survey adds to signs China’s economy is gradually recovering, supported by higher government construction spending. But forecasters say global demand for Chinese goods is uncertain as infections rise in the United States, Brazil and some other countries.

The survey’s employment sub-index declined to 49.1 from May’s 50.2, indicating employers were cutting jobs.

New orders improved to 51.4 from May’s 50.9. Export orders contracted but by a smaller margin, rising 7.3 points to 42.6.