Report: Factory wages poised for further growth
Manufacturing labor costs in China will continue to rise steeply at 12 percent annually until 2020, according to a new report, but the wage increases will not be matched by similar rises in productivity, casting a shadow over the future competitiveness of the world's largest manufacturing base.
New data from HSBC Holdings Plc and Markit Economics showed a flash Purchasing Managers' Index at a seven-month low of 49.5 for December, just below the dividing line between expansion and contraction at 50. That compared with the median estimate of 49.8 in a Bloomberg News survey.
A separate report from the Economist Intelligence Unit, a global business consultancy, meanwhile, also showed on Tuesday that China's annual earnings grew at 11.9 percent from 2001 to 2012, and it is very likely to continue at that rate from 2013 to 2020.
