Recently, the China Federation of Logistics and Purchasing released the Purchasing Managers' Index (PMI) for China's manufacturing industry in February 2026, which was 49%, a decrease of 0.3 percentage points from January. Under the influence of seasonal factors such as the Spring Festival, the operation of the manufacturing industry has slowed down temporarily. According to Wen Tao, an analyst at the China Logistics Information Center, from the perspective of sub indices and changes in industry operations, the domestic and international market demand for China's manufacturing industry tightened in the short term in February, and there was a seasonal slowdown in enterprise production activities that followed the pattern. However, positive changes in industry operations continue to accumulate: the rise in raw material prices is gradually slowing down, the sales prices of finished products are steadily recovering, new driving forces remain stable and increasing overall, and large enterprises are accelerating their expansion against the trend. The short-term fluctuations on the demand side were the core influencing factor for the decline in the manufacturing PMI in February. The data shows that the new orders index for the manufacturing industry in February was 48.6%, a decrease of 0.6 percentage points from January, and the overall demand in the manufacturing market showed a tightening trend. Regarding this, Wen Tao analyzed that the core driving force behind this change is still the continuous manifestation of seasonal factors. On the one hand, the 2026 Spring Festival in mid to late February will have a significant impact on manufacturing companies' order taking and production scheduling. This factor not only affects domestic demand, but also is the main reason for the tightening of foreign demand. The new export order index in February was 45%, a decrease of 2.8 percentage points from the previous month. On the other hand, the impact of low-temperature weather in many parts of China on outdoor construction operations is still ongoing, and the demand for related equipment, facilities, and raw materials is correspondingly shrinking. Overall, in February, both domestic and international demand in the manufacturing industry tightened, and in the long run, market demand has a stable operating foundation. In February, the new driving force of China's manufacturing industry continued to show an overall stable and increasing trend, with high-tech manufacturing market demand steadily increasing and production activities expanding rapidly. Data shows that the high-tech manufacturing industry continues to expand rapidly, with a PMI of 51.5%, maintaining an expansion range for 13 consecutive months. The new order index remains above 51%, and the production index runs above 54%. In addition, in February, large manufacturing enterprises in China achieved accelerated expansion under the influence of seasonal factors. Both the supply and demand sides of large enterprises expanded positively, demonstrating strong resilience and competitiveness, and supporting the overall operation of the manufacturing industry well under the continued influence of seasonal factors. In March, as the impact of the Spring Festival holiday largely subsides, factories and construction sites will resume work comprehensively, and the economy and society will return to normal operation. ”Regarding the future trend of the manufacturing industry, Wentao stated that several provinces and cities have already set development goals. With the continuous implementation of policies such as stabilizing the economy, expanding domestic demand, and stabilizing foreign trade in the early stage, as well as the steady promotion of reform and development by local governments, it is expected that the manufacturing industry will stabilize and rebound in March, and market demand will steadily increase in quantity and improve in quality. Zhang Liqun, a special analyst at the China Federation of Logistics and Purchasing, stated that the current economy is in a critical period of accumulating strength and recovery. It is necessary to significantly increase government investment in public goods, significantly expand demand, and increase enterprise orders. Through sufficient macroeconomic policies to counter cyclical and cross cyclical adjustments, we can effectively reverse the market led demand contraction, fully leverage the effectiveness of government macroeconomic governance, vigorously boost enterprise confidence, and strive to achieve a good start to the 15th Five Year Plan. (New Society)