Hong Kong skyline from above

Hong Kong PMI August 2020

Hong Kong: Private sector PMI falls in August

The IHS Markit Hong Kong SAR Purchasing Managers’ Index (PMI) edged down to 44.0 in August, from 44.5 in July. As a result, the PMI fell further below the 50-threhold that indicates an improvement in the private sector economy over the previous month.

August’s reading was hampered by an increase in coronavirus containment measures, in particular with the implementation of new limits on the size of public gatherings, and both output and new orders fell sharply in the month. Consequently, businesses scaled back on purchasing activity and reduced inventories further amid the economic uncertainty.

Moreover, businesses confidence remained deeply negative, owing to worries about the impact of the ongoing coronavirus restrictions as well as the US-China trade war tensions. On the price front, although input costs remained broadly stable, companies reduced their prices further in a bid to ramp up sales.

Commenting on what this means for jobs, Bernard Aw, principal economist at IHS Markit, said: ” With unused capacity persisting across the private sector, the labour market is set to remain subdued in the coming months.”

Free sample report

Access essential information in the shortest time possible. FocusEconomics provide hundreds of consensus forecast reports from the most reputable economic research authorities in the world.
Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest