FX.co ★ China Services Growth Below Expectations

In April 2025, China's official NBS Non-Manufacturing PMI decreased to 50.4, down from March's three-month peak of 50.8 and falling short of market forecasts of 50.7. The contraction of new orders accelerated, moving from 46.6 to 44.9, and employment declined further, dropping from 45.8 to 45.5. Additionally, foreign orders experienced a significant deterioration, plummeting from 49.8 to 42.2, largely due to growing concerns over the repercussions of increased U.S. tariffs on China's service sector. Meanwhile, delivery times experienced a slight improvement, decreasing from 51.1 to 50.8. On the cost front, input prices saw a decline for the third consecutive month, moving from 48.6 to 47.8, alongside a continued decrease in selling prices, which edged down from 46.7 to 46.6. Lastly, business confidence dropped to its lowest point since September 2024.