IRON GIANT: Workers try to join the two sections of a cable-stayed bridge, the main component of a grand bridge spanning the Yongjiang River in Ningbo, east China's Zhejiang Province, on August 5 (LIU JUNXI)

Strong Recovery

China's manufacturing activity quickened to its highest level in more than two years in July, reinforcing signs that the economy is firming up owing to government support policies.

The purchasing managers' index (PMI) of the manufacturing sector rose to 51.7 in July, up from 51 in June, according to data released on August 1 by the National Bureau of Statistics (NBS) and the China Federation of Logistics and Purchasing (CFLP).

A reading above 50 indicates expansion, while a reading below 50 reflects contraction.

The stronger-than-expected data marked the fifth monthly recovery of the PMI, a widely watched indicator of the health of the world's second largest economy.

NBS statistician Zhao Qinghe attributed the strength to government policies designed to stabilize growth and the continuously improving external environment, which helped boost production and new orders.

On the other side, business activity in China's non-manufacturing sector slightly slowed in July.

The PMI of the non-manufacturing sector came in at 54.2 in July, down 0.8 percentage points from June, according to a report jointly released by the NBS and CFLP.

The non-manufacturing PMI tracks activity in sectors including construction, software, aviation, railway transport and real estate. July's reading marked the lowest level in six months, but still well above the 50 threshold that demarcates expansion and contraction.

Notably, the property market remained weak, with the business activity, new orders and price indices for the sector all dipping below the 50-percent demarcation.

Cai Jin, Vice Chairman of the CFLP, said the slight fluctuation of the indices showed the market is generally stable.

Web Management

The Chinese Government on August 7 launched a regulation to tighten management of instant messaging services, in an effort to build a clean cyberspace.

The regulation targets public accounts on such services, most of which are subscription-based mobile apps, and which can spread information on a large scale.

New registrants will for the first time be obliged to register with real names. Users shall abide by laws and regulations, national interests, the legitimate rights and interests of citizens, public order, social morality and ensure the authenticity of the information they provide, under the regulation.

Meanwhile, providers of instant messaging services shall be responsible for their safe operation, protect users' information and citizens' privacy, be subject to public supervision and handle illegal information in a timely manner.

Regulators will warn violators, limit their rights to release information, suspend their renewals or even close their accounts, based on the degree of the violation.

Tackling Overcapacity

China has seen positive developments in reducing excess production capacity as it works to improve economic structure, according to a report of the National Development and Reform Commission (NDRC) on August 1.

In the first six months of the year, investment into the steel and electrolytic aluminum sectors dropped by 8.4 percent and 31 percent year on year respectively.

Major steel companies started to make profits in March. They recorded a combined profit of 2.85 billion yuan ($462 million) in May, 2.3 times that of April.

In the first four months, companies in the cement sector raked in a combined profit of 17.2 billion yuan ($2.79 billion), up 109.3 percent year on year.

China has been addressing overproduction in the aforementioned five sectors through measures such as closing small factories and limiting investment into these industries.

The NDRC said China will continue with the push to reduce the excess capacity and improve the efficiency of the economy.