The growth of the Chinese service sector weakened somewhat at the beginning of the year. The January-issued Caixin / Markit PMI fell to 53.6 points in January from 53.9 in December, but was still well above the 50-point mark that signaled growth. In particular foreign customers could be gained.
The service sector in China accounts for more than half of China’s economic output. It is important to offset the weakness in the industry that is experiencing the US trade dispute. The index for both sectors combined fell to 50.9 in January from 52.2 in December.
The industry lost a lot of momentum at the beginning of the year. Friday’s Caixin Markit PMI dropped to 48.3 points from 49.7 points in December, well below the growth threshold of 50 points.
