China’s factory activity beats forecasts in May, private survey shows, despite softer official data

Key points

• Workers make US flags ahead of the 2026 World Cup football tournament, at a factory in Qingdao, in China's Shandong province on May 28, 2026. BEIJING — China's manufacturing activity expanded faster than expected in May, according to a private survey released Monday, although growth slowed from the previous month and contrasted with softer official data pointing to weaker momentum in the sector.
• The RatingDog China General Manufacturing Purchasing Managers' Index, compiled by S&P Global, came in at 51.8, a touch above the 51.6 expected in a Reuters poll.
• The reading was down from April's 52.2, indicating a slower pace of improvement in manufacturing conditions.
• The 50 mark separates expansion from contraction.
• "While the rate of growth eased, it remained among the highest observed over the past five years," said Yao Yu, founder of credit research firm RatingDog.