China’s logistics activity increased in May

Beijing. June 6. Silkroadnews - This May the volume of logistics activities in China increased, as the economy continued to show signs of strengthening, Xinhua reports.
The logistics performance index for May came in at 56.1%, compared to 54.6% in April, according to the China’s Federation of Logistics and Purchasing.
A reading above 50% mean growth, while a reading below 50% shows a reduction.
“The increase pointed to relatively strong logistics activity and a positive outlook for the industry,” He Hui, deputy head of the China Logistics Information Center, said.
He explained the growing logistics of food and agricultural products by growth of investment into fixed assets in the sector and a reduction in logistics costs.
In breakdown, the sub-index for new orders expanded to 54.5 percent from 52.9 percent in April, while that for inventory turnover came in at 52 percent, up from 51.4 percent in April. The sector’s business expectation index stood at 60.8 percent, suggesting that business activity will continue to improve in the future. China’s economy delivered a solid start to the year with above-target growth. Its GDP expanded 6.8 percent year on year in the first quarter, unchanged from the previous quarter, the report reads.
According to the National Bureau of Statistics, the country’s manufacturing sector grew at the fastest pace in the last eight months in May, while the PMI reached 51.9, compared to 51.4 in April.