MNI BRIEF: China Jan Manufacturing PMI Falls Below 50

China's Manufacturing Purchasing Managers Index dropped by 0.8 points to 49.3 in January from December, falling below the breakeven 50 mark, mainly due to traditional off-season and insufficient demand, data from the National Bureau of Statistics showed on Saturday.

The production sub-index declined by 1.1 points to 50.6, remaining in the expansionary zone. But new orders sub-index fell further into the contraction territory, by 1.6 points to 49.2.

The non-manufacturing PMI registered 49.4, down 0.8 points from the previous month. The business activity sub-index for the service sector decreased by 0.2 points to 49.5, while that of the construction industry dropped 4.0 points to 48.8, as construction slowed due to low temperatures and the approaching Spring Festival holiday.