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Nikkei PMI declines to 49.9 in Dec as Malaysian manufacturing sector stagnates

Poland's manufacturing activity expanded at the fastest pace in almost three years in December, survey data from IHS Markit showed Tuesday.

The National Bureau of Statistics reported that the country's manufacturing purchasing managers' index fell to 51.6 from 51.8 in November. It was also lower compared to the 55.7 reading posted a year earlier.

Subindexes of production and new orders showed faster growth in December, Caixin said.

The index considers any score above 50 to be an improvement, while those below signify a contraction.

Chinese steelmakers in 28 cities have been ordered to curb output between mid-November and mid-March, while a campaign to promote cleaner energy by converting coal to natural gas has also hampered manufacturing activity in some cities, leading to shortages and sending prices spiking. The increase was driven by stronger new order growth and the fastest rise in employment in the sector since the survey began in 1998. The modest increase in output in December followed broadly unchanged production volumes in November.

On the price front, Dodhia said July's Goods and Services Tax (GST) continued to lead to greater raw material costs, with input cost inflation accelerating to the sharpest since April.

At the annual Central Economic Work Conference (CEWC) chaired by President Xi Jinping, top policymakers pledged to focus on creating "high quality" growth.

"Manufacturing operating conditions improved in December, reinforcing the notion that economic growth has stabilized in 2017 and has even performed better than expected", Zhengsheng Zhong, an economist at CEBM Group, said in a statement accompanying Tuesday's release. Concerns over relatively subdued client demand and government policy changes dampened confidence.

The Caixin PMI focuses more on light industry, while heavy industry makes up a larger share of the NBS survey.

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