China CNY

China Industrial Capacity Utilization

Impact:
Medium

Latest Release:

Date:
Big Surprise:
-2.4%
| CNY
Actual:
74.1%
Forecast: 76.5%
Previous/Revision:
76.2%
Period: Q1

Next Release:

Date:
Period: Q2
What Does It Measure?
China's Industrial Capacity Utilization measures the extent to which the manufacturing sector's productive capacity is being utilized, evaluating how much of the total potential output is actually achieved. It primarily focuses on production efficiency within the industrial sector, directly reflecting the levels of output relative to capacity, and key indicators include the percentage of capacity utilized, typically signifying economic activity's strength or weakness.
Frequency
This report is released on a quarterly basis, usually published about a week after the end of each quarter.
Why Do Traders Care?
Traders pay close attention to China's Industrial Capacity Utilization because it serves as a vital indicator of economic health and manufacturing activity, influencing market sentiment regarding China's economic prospects and consequently affecting the Chinese Yuan (CNY), commodities, and global equities. Higher-than-expected figures are generally positive for risk sentiment, supporting asset prices, while lower readings can signal economic slowdown, leading to bearish trends in various markets.
What Is It Derived From?
The Industrial Capacity Utilization rate is derived from a survey of manufacturing firms that gather data on their production levels compared to their maximum production capabilities, employing a diffusion index methodology to reflect the overall sentiment in the industrial sector. The calculation involves aggregating the output data from various segments of the manufacturing industry, providing a comprehensive snapshot of industrial performance.
Description
The report provides insights into the manufacturing sector's performance by comparing actual production output to potential output, helping to assess economic conditions and enterprise efficiencies over time. Preliminary data may be released collecting estimates from factories, while final figures provide refined statistics after more comprehensive data has been analyzed.
Additional Notes
This indicator serves as a coincident economic measure, reflecting current economic conditions related to industrial activity in China. It can be compared with other indicators such as the Purchasing Managers' Index (PMI) and industrial production data, which together provide a fuller picture of economic trends.
Bullish or Bearish for Currency and Stocks
Higher than expected: Bullish for CNY, Bullish for Stocks.

Legend

High Potential Impact
This event has a strong potential to move markets significantly. If the 'Actual' value differs enough from the forecast or if the 'Previous' value is significantly revised, it signals new information that markets may rapidly adjust to.

Medium Potential Impact
This event may cause moderate market movement, especially if the 'Actual' deviates from the forecast or there's a notable revision to the 'Previous' value.

Low Potential Impact
This event is unlikely to affect market pricing unless there's an unexpected surprise or a major revision to prior data.

Surprise - Currency May Strengthen
Actual deviated from Forecast on a medium or high impact event and historically could strengthen the currency.

Surprise - Currency May Weaken
Actual deviated from Forcast on a medium or high impact event and historically could weaken the currency.

Big Surprise - Currency More Likely To Strengthen
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely strengthen the currency.

Big Surprise - Currency More Likely To Weaken
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely weaken the currency

Green Number Better than forecast for the currency (or previous revise better)
Red Number Worse than forecast for the currency (or previous revise better)
Hawkish Supports higher interest rates to fight inflation, strengthening the currency but weighing on stocks.
Dovish Favors lower rates to boost growth, weakening the currency but lifting stocks.
Date Time Actual Forecast Previous Surprise
74.1%
76.5%
76.2%
-2.4%
76.2%
75.3%
75.1%
0.9%
75.1%
74.7%
74.9%
0.4%
74.9%
74.3%
73.6%
0.6%
73.6%
75%
75.9%
-1.4%
75.9%
75.7%
75.6%
0.2%
75.6%
74.6%
74.5%
1%
74.5%
74.5%
74.3%
74.3%
76.3%
75.7%
-2%
75.7%
73%
75.6%
2.7%
75.6%
75.4%
75.1%
0.2%
75.1%
74%
75.8%
1.1%
75.8%
77%
77.4%
-1.2%
77.4%
77%
77.1%
0.4%
77.1%
78.1%
78.4%
-1%
78.4%
77.1%
77.2%
1.3%
77.2%
77.4%
78%
-0.2%
78%
76.9%
76.7%
1.1%
76.7%
75.1%
74.4%
1.6%
74.4%
75%
67.3%
-0.6%
67.3%
75%
77.5%
-7.7%
77.5%
76.2%
76.4%
1.3%
76.4%
76.5%
76.4%
-0.1%
76.4%
75.7%
75.9%
0.7%
75.9%
76%
76%
-0.1%
76%
76.7%
76.5%
-0.7%
76.5%
77%
76.8%
-0.5%
76.8%
77%
76.5%
-0.2%
76.5%
77.5%
78%
-1%