Monthly Construction Market Development Data Report for June 2023

First,

in June, the PMI of the construction industry was 55.7%, down 2.5 percentage points from May, showing "three consecutive declines" and hitting a new low in the year. New order index and employee index both fell, while input price index and sales price index showed a significant rebound, but the rebound of input price index was significantly higher than that of sales price index, reflecting a certain degree of narrowing of corporate profits. In June, the construction industry's orders in hand or showed a slight decline at a high level, while new orders showed a certain fatigue, and the business activity expectation index continued to decline. Although the PMI of the construction industry is still in the boom zone, the orders in hand are partially completed, the new orders are insufficient, and the business activity expectation index fell further in June.

Figure 1: Construction PMI Index Trend

Data Source: Cement Big Data (https://data.ccement.com/)

II.

According to statistics, from January to June, the number of large bid-winning orders (amounting to more than 50 million yuan, the same below) for construction projects nationwide was 9667, an increase of 13.77% over the same period last year, with a total amount of 2.53 trillion yuan. Up 18.48% year on year.