Activity in Chinese factories shrinks in December

China's factory activity has contracted for a third consecutive month in December, while non-manufacturing activities expanded at a faster pace, an official survey showed on Sunday.

China's official purchasing managers index for the manufacturing sector fell to 49 in December from 49.4 in November, below the 50-point mark that separates contraction from growth, the National Bureau of Statistics said on Sunday. 

Zhao Qinghe, an NBS statistician, said in a statement posted on the bureau's website that manufacturing PMI declined as December marks the off-season for some raw materials sectors. 

The sub-index for production came in at 50.2 in December from 50.7 in November, while the gauge for new orders declined to 48.7 in December from 49.4 a month earlier, the NBS said. 

NBS also reported that business confidence is improving, with the reading for manufacturers' expectations for future output and business operations standing at 55.9 in December after 55.8 in November. 

China's non-manufacturing PMI came in at 50.4 in December, up from 50.2 a month earlier. Also, the country's official composite PMI, which includes both manufacturing and non-manufacturing activities, came in at 50.3 in December compared with 50.4 in November, according to the NBS. 

ouyangshijia@chinadaily.com.cn