• Tue. Apr 23rd, 2024

Positive Outlook for New Business Expansion Fails to Boost Employment Levels in March

BySamantha Nguyen

Apr 3, 2024
Services sector in China sees acceleration in growth in March with increased new business volume, marking fastest growth in 3 months.

In March, the pace of new business expansion was the fastest since December, thanks to improving underlying demand and efforts to boost new orders. This increase in new business expansion also led to a rise in business confidence, with hopes that new product lines, expansion plans, and increases in client budgets will help boost sales. Despite this positive outlook, there was no significant increase in recruitment levels. Employment levels shrank for a second consecutive month in March, although the rate of job shedding did ease from February. Respondents attributed this decline in payroll numbers to resignations among staff and redundancies made to improve productivity.

Both the manufacturing and services sectors experienced growth in supply and demand, with exports improving and sustained market optimism. This acceleration in growth, along with the positive Caixin manufacturing PMI, led to the composite PMI rising to 52.7 last month from 52.5 in February. This was the highest reading since May 2023. Economist Wang Zhe from Caixin Insight Group stated that employment levels continued to contract in both sectors, while input and output prices remained low. This indicates that sluggish demand persisted, despite the overall positive outlook for new business expansion and business confidence.

By Samantha Nguyen

As a content writer at newsqwe.com, I am passionate about crafting engaging and informative articles that captivate our audience. With a background in journalism and a keen eye for detail, I strive to deliver content that is not only well-researched but also adds value to our readers' lives. From breaking news stories to in-depth features, I take pride in my ability to tell compelling stories that resonate with our diverse audience. When I'm not typing away at my keyboard, you can find me exploring new cafes, practicing yoga, or getting lost in a good book. I am thrilled to be a part of the newsqwe.com team and look forward to sharing my love for writing with all of our readers.

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