China Services Activity Hits 3-Month High
2026-06-03 01:51
By
Chusnul Chotimah
1 min. read
The RatingDog China General Services PMI increased to 54.4 in May 2026 from 52.6 in April, surpassing forecasts of 52.3.
It marked the strongest growth in the services sector since February, as new orders rose at the fastest pace in three months, while export orders increased following slight declines in the previous two months.
However, growth in foreign sales remained softer than domestic demand.
Employment increased for the first time in four months, with the pace of job creation exceeding that recorded in January.
On prices, input price inflation accelerated to its highest level since October 2024, driven by higher fuel prices and wage costs.
Output price inflation was broadly unchanged, with cost pressures increasing but remaining below the long-run survey average.
Lastly, sentiment improved to a three-month high, supported by improving market conditions, a brighter economic outlook, business development initiatives, increased client demand, new projects, and new business lines.