China manufacturing at 13-month high

China’s factory output is at its highest level in 13 months, marking an expansion in the manufacturing industry.

HSBC's Flash China Manufacturing PMI rose from 49.5 in October to 50.4 this month, with the 50-point level highlighting the end of contraction, the ABC reported.

"As November's flash reading of HSBC manufacturing PMI bounced back to the expansionary territory for the first time in 13 months, this confirms that the economic recovery continues to gain momentum towards the year end," noted HSBC's chief China economist Hongbin Qu in the report.

"However, it is still the early stage of recovery and global economic growth remains fragile. This calls for a continuation of policy easing to strengthen the recovery."

According to a new report by Deliotte, China is the most competitive manufacturing nation in the world, and will hold the position for at least the next five years.

In the new Global Manufacturing Competitiveness Index China, Germany, and the United States took out the top three rankings for manufacturing competitiveness.

But in the five year outlook India and Brazil are tipped to take second and third spot, with Germany and the US falling to 4th and 5th.

Deloitte UK manufacturing leader David Raistrick said developed countries would find it increasingly difficult to match innovation in rising nations.

“Frontier markets in Asia such as Vietnam and Indonesia are on the rise,” he said.

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