Factory growth gathers speed

Manufacturing activity of Chinese enterprises gathered speed in March, indicating that the nation's economy continued to maintain momentum in the first quarter of this year, latest data said.

The Caixin China manufacturing PMI for March released on Monday showed that the index dropped by 0.6 percentage point from the previous month to 51, but was still well above the 50-point mark that separates growth from contraction on a monthly basis. However, the reading was the lowest during the past four months.

Despite the slightly weakening demand, manufacturers still remained upbeat on business prospects for the rest of the year, with the industrywide confidence hitting the highest point in a year. Expectations are rife that the expansion of production will be facilitated by stepped-up investment, improvement in market expectations and the launch of new products.