January's improvement is attributed to accelerated production rates and a rise in new orders. Additionally, the month saw stable expectations from factories. A notable increase in export orders was observed, reflecting a resurgence in external demand, according to Chinese media reports.

The overall business outlook for China's manufacturing sector remained largely stable. The PMI for large enterprises returned to the expansion zone, indicating positive growth. Medium-sized companies also showed signs of improvement, although they continued to operate in a contraction phase. However, the situation for small firms remained challenging, with no significant change in their lacklustre performance.

Fibre2Fashion News Desk (DP)