China's Manufacturing PMI Rises to 49.8% in August, Still in Contraction

China's official manufacturing Purchasing Managers' Index (PMI) for August 2026 increased to 49.8%, up 0.6 percentage points from 49.2% in July. While this figure surpassed the Reuters poll consensus of 49.6%, it remains below the 50-point threshold, indicating that the manufacturing sector is still in contraction. The non-manufacturing PMI held steady at 49.0%, and the composite PMI output index edged up to 49.5%, suggesting a slight improvement in the overall economic output's prosperity level.