The new export orders index fell below the boom-bust line for four consecutive months
According to the National Bureau of Statistics, China’s manufacturing PMI was 50.1% in August, down 0.3% from the previous month percentage points, slightly above the critical point and the lowest since March 2020. The index has fallen close to the boom-bust line for five consecutive months.
The Purchasing Managers Index (PMI) is an index compiled and compiled based on the monthly survey results of corporate purchasing managers. It covers corporate procurement, production, circulation, etc. Links, including manufacturing and non-manufacturing fields, are one of the leading indicators commonly used internationally to monitor macroeconomic trends, and have strong prediction and early warning effects.
Companies generally stated that the rebound in the number of COVID-19 cases and the tightening of epidemic prevention and control measures have had an impact on manufacturing production, further suppressed demand, and intensified the supply of input products. Difficulty.
The non-manufacturing business activity index in August was 47.5%, 5.8 percentage points lower than the previous month, and dropped to the threshold of prosperity and prosperity. Below the point, the prosperity dropped significantly.
Foreign demand continues to shrink, and the new export orders index fell 1 percentage point from the previous month to 46.7%, for 4 consecutive months Running below the 50% boom-and-bust line.
The main factors are still the triple pressure of exchange rates, freight rates, and rising raw material prices, as well as the slowdown in economic recovery in the United States and Europe.
Zhang Liqun, a special analyst at the China Federation of Logistics and Purchasing, analyzed that the PMI index continued to decline in August, but remained above the boom-bust line. Overall, the economy continues to recover, but Momentum weakened further.
In August, the comprehensive PMI output index was 48.9%, down 3.5 percentage points from the previous month, indicating that the production and operation activities of Chinese enterprises slowed down significantly compared with the previous month.
Sino-US shipping costs have increased by 500%, and shipping costs are more expensive than goods
Currently, when shipping containers are shipped from my country’s ports, freight rates have increased significantly. It is not uncommon for a 40-foot container to be shipped to the United States, with shipping costs reaching $20,000.
Such high shipping costs have increased by a full 500% compared to last year. In fact, not only has the freight rate between China and the United States increased on a large scale, but the freight rate between China and Europe has also increased to a certain extent, and the freight rate for a 40-foot container has already exceeded US$10,000.
According to the latest report from The Paper on August 17, the value of a single container of Chinese furniture imported into the United States is basically equivalent to the sea freight, and some are even 10% more expensive than the sea freight.
The high shipping costs have forced some importers to stay away from placing orders.
According to a notice from the global shipping giant Maersk, the “lack of containers” situation in global trade is now very serious. Especially on the international routes from China to North America, 40-foot containers are in extremely short supply.
“Some foreign trade companies reported that due to the shortage of containers, uncertainty in exports of goods has increased, and goods have been backlogged for several months, resulting in great financial pressure. Other companies reported that due to the long freight cycle , no longer dare to accept orders.” said Tian Yuan, associate researcher at the Institute of International Trade and Economic Cooperation of the Ministry of Commerce.
In addition, relevant people pointed out that the COVID-19 epidemic has had a huge impact on global trade, as well as inefficiencies caused by old port equipment and staff shortages; typhoons along the coast of China, typhoons in North America, Severe weather such as wildfires and hurricanes also contributed to the situation. </p
