Manufacturing activity in China hit a five-month high in October despite the global economic turmoil, according to Purchasing Manager Index (PMI) figures.
The HSBC China PMI index, a gauge of nationwide manufacturing activity, rose to 51.1 in October from a final reading of 49.9 in September.
Both the new orders and new export orders sub-indexes rose above the 50-point mark in October
A reading above 50 indicates expansion, while below 50 suggests a contraction.
It follows three months of contraction for the sector.
Hongbin Qu, China economist at HSBC, said: "Thanks to the pick-up in new orders and output, the headline flash PMI rebounded back into expansionary territory during October.
The PMI figures also showed a slowing in input prices, a measure of the cost of raw materials, he said, indicating government steps to rein in high inflation might be making an impact.
China's benchmark consumer price index rose 6.1% year-on-year in September, slowing only marginally from a 6.2% rise in August.
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