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Chinese trishaw drivers take nap while waiting for customers at a hutong alley near the drum tower, a tourist spot in Beijing, China Wednesday, May 7, 2014 [AP]
A PMI reading above 50 indicates expansion, while a reading below 50 reflects contraction.
The non-manufacturing PMI, compiled by the National Bureau of Statistics and the China Federation of Logistics and Purchasing (CFLP), tracks activity in sectors including construction, software, aviation, railway transport and real estate.
In spite of the slight drop, non-manufacturing activity was still at a relatively high level, as the index was still five points above the boom-bust line of 50, said the CFLP’s deputy chief Cai Jin.
New export orders saw the largest decline of 2.5 points to stay at 50.2 in June.
Production-related service sectors saw a strong upward trend, especially those closely related to manufacturing, Cai said.
On Tuesday, the CFLP announced that China’s manufacturing PMI rose to a six-month high of 51 points in June, performing strongly at the end of the second quarter, and an encouraging sign that the economy is further stabilizing.
Source: Agencies