The purchasing managers'index (PMI) for China's manufacturing sector came in at 49.4 in August, up from 49 in July, data from the National Bureau of Statistics (NBS) showed on August 31.

NBS senior statistician Zhao Qinghe said the majority of the manufacturing sectors reported improving business climate as PMIs rose in 12 of 21 surveyed industries. "Despite the impacts of COVID-19 and heatwaves, the Chinese economy has continued its recovery."

Some major industries kept expanding. The index of the consumer goods production rose from 51.4 in July to 52.3 this month, and that of the equipment and high-tech manufacturing sectors stood at 50.9 and 50.6, respectively.

A reading above 50 indicates expansion, while a reading below reflects contraction.