China's logistics sector less upbeat in March

China's logistics sector was less upbeat in March amid global uncertainties and the domestic resurgence of COVID-19 cases, data from the China Federation of Logistics and Purchasing (CFLP) showed. This was reported by The Xinhua News Agency.

The logistics performance index, which tracks business volume, new orders, employment, inventory turnovers and equipment utility rates in the sector, came in at 48.7% in March, down 2.5 percentage points from the previous month.

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

"However, logistics demand will pick up once this wave of COVID-19 is brought under control", – said He Hui, assistant president of the CFLP.

The sub-index for new orders came in at 49.4%, down 0.8 percentage points from a month ago. The sub-index for business costs rose to 60.4%, indicating higher production costs for logistics companies, according to the federation.