FAIR CONTINUES: An apparel purchaser examines clothes at the 113th Canton Fair in Guangzhou, capital of south China's Guangdong Province, on May 1, the opening day of the fair's third phase featuring apparel, bags, shoes and other goods (LIANG XU)

Expansion Slows

China's Purchasing Managers' Index (PMI) for the manufacturing sector fell to 50.6 percent in April from 50.9 percent in March, the China Federation of Logistics and Purchasing (CFLP) said on May 1.

It was the seventh consecutive month that the PMI figure stayed above 50 percent, which demarcates expansion from contraction, according to a statement of the CFLP.

Although the PMI remains generally stable, the slight retreat indicates slower growth in the manufacturing sector and the need for a stronger momentum in China's economic growth, according to the statement.

The April PMI showed the foundation for China's economic recovery is not solid enough, said Zhang Liqun, an analyst from the Development Research Center of the State Council, China's cabinet.

The decline in orders caused a fall in the inventory level, and a sharp drop in the sub-index for purchasing prices of raw materials suggests the corporate confidence was undermined, Zhang said, stressing that efforts should be made to stabilize domestic demand.

The HSBC Flash China Manufacturing PMI also slowed to a two-month low of 50.5 in April, according to figures released by HSBC on April 23.

Joining Hands

Alibaba Group, China's largest e-commerce company, has spent $586 million for an 18-percent share of Sina Weibo, the Chinese equivalent of Twitter, in an attempt to monetize the hugely influential social media platform.

The deal was expected to combine Alibaba's e-commerce strength with Sina Weibo's user base to explore social commerce and develop marketing solutions to merchants.

The two companies said in a statement on April 29 that Alibaba has an option to boost its stake in Sina Weibo to 30 percent.

The transaction put the value of Sina Weibo at $3.26 billion. The market capitalization of Nasdaq-listed Sina Corp. was $3.67 billion on April 29. Sina's American depository shares rose by 9 percent to $55.03 on that day.

Hangzhou-based Alibaba Group, which Yahoo holds about a 23-percent stake, is the largest e-commerce empire in China.

Beijing-based Sina Weibo started as an imitator of Twitter, but it developed features tailored to Chinese users. By November 2012, the number of registered users had exceeded 400 million.

The two companies said the deal is expected to generate approximately $380 million in advertising and revenues from social commerce services for Sina Weibo over the next three years.

Job Market Stable

The population of China's employed increased by 3.42 million in the first quarter, while the registered urban unemployment rate stood at 4.1 percent.

The employment situation has been favorable in the first three months, said Yin Chengji, spokesman for the Ministry of Human Resources and Social Security.

The urban unemployment rate from January to March remained unchanged from 4.1 percent in 2012, and it may contribute to realizing this year's target of keeping the unemployment rate at or below 4.6 percent.

However, employment pressure is increasing as the number of job seekers has continued to rise, especially among college graduates, Yin said.

The employment of college graduates will continue to be a focus of government efforts in the coming years, he said.

China will see a record-high 6.99 million people graduate from college this year, up 2.8 percent from a year ago.