Demand has recovered, China's warehousing index rebounded in September

The China Federation of Logistics and Purchasing released the China Warehousing Index in September today (14th). The index has rebounded from August, with the increase in each major sub-index ranging from 1 to 6.8 percentage points. The overall demand in the warehousing market has improved, and the industry has shown a recovery trend.

China's warehousing index in September was 49.7%, an increase of 1.2 percentage points from August, indicating that the operation of the warehousing industry has recovered.

In terms of business scale, business volume has rebounded significantly, and facility utilization has increased simultaneously. In September, the business volume index was 52.8%, an increase of 5.5 percentage points from August; the facility utilization index was 51.4%, an increase of 6.8 percentage points from August, and both indices returned to the expansion range. Warehousing demand, which was suppressed by weather and off-season conditions in the early stage, has recovered in an orderly manner. Overlay infrastructure projects and major projects have accelerated, and bulk commodity warehousing business volumes such as steel, chemical products, and mineral products have rebounded significantly.

From the perspective of service prices, charging prices have rebounded and the relationship between supply and demand has improved. The charge price index in September was 50.5%, an increase of 3.2 percentage points from August, returning to the expansion range. As business volume recovers, warehousing charges rise, and industry operating pressures are eased.

From the perspective of inventory and turnover, the decline in inventory levels has narrowed and turnover efficiency has improved. In September, the ending inventory index and average inventory turnover index were 49% and 49.5% respectively. Although the two indices are still in the contraction range, they are close to the boom and bust line. Companies continue to destock, but the decline in inventory has narrowed. In terms of categories, the inventory levels of chemical products, machinery and equipment have increased, and the turnover efficiency of non-ferrous metals, building materials, etc. is relatively good.

From the perspective of orders and expectations, new orders have rebounded to the expansion range, and companies have better expectations for the market outlook. The new orders index in September was 50.9%, an increase of 1.3 percentage points from August; the business activity expectation index was 56%, an increase of 2.8 percentage points from August, and continued to rise in the expansion range. The improvement of manufacturing demand and the continuation of the peak season of traditional production and construction support the release of new demand for warehousing. The industry's performance fluctuated in the third quarter, and showed a recovery trend at the end of the quarter.

He Hui, vice president of the China Federation of Logistics and Purchasing, said that in the future, the traditional peak season of production and construction will continue, policies such as equipment updates and trade-in of consumer goods will continue to be implemented, major projects and infrastructure construction will be accelerated, and with the arrival of the autumn and winter peak consumption seasons, warehousing business demand is expected to continue to improve, and the industry will maintain a stable and positive trend.

(CCTV reporters Cong Weina and Chen Xi)