In a notable shift for China's service-oriented sectors, the Non-Manufacturing Purchasing Managers' Index (PMI) has recorded a decline, dipping below the critical 50-point threshold in November 2025. According to the latest data released on November 30, the PMI stood at 49.5, down from 50.1 recorded in October 2025. This drop indicates a contraction in the non-manufacturing sector for the first time since the previous assessment.
The contraction reflects a setback for one of the world’s largest economies, which has otherwise been seen as resilient in the face of global economic uncertainties. The dip below 50 signifies that the sector is facing challenging conditions, as figures below this benchmark usually denote shrinkage in economic activity.
These latest figures suggest potential headwinds for China's efforts to balance its economy amid ongoing pressures. Analysts suggest this downturn might trigger immediate strategic recalibrations to support a rebound in subsequent months. Investors and stakeholders are now closely monitoring further data releases to assess the longer-term implications of this contraction.
