Despite the slowdown, the measure remained above the 50 mark that separates activity contraction from expansion, and where it has been since January 2023.

The Caixin China General Services PMI unexpectedly declined to 51.0 in January 2025, down from December’s seven-month high of 52.2, and below market forecasts of 52.3. The reading marked the softest expansion in the services sector since September,

China's services activity expanded at a slower pace in January, with the Lunar New Year holidays worsening employment, but business sentiment improved, a private sector survey showed on Wednesday.