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China's logistics activity shrinks in January

Xinhua | Updated: 2018-02-05 16:23
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BEIJING - China's logistics activity shrank in the first month of this year due to holiday and weather issues.

The index measuring the logistics sector's expansion stood at 54.2 percent in January, down by 2.4 percentage points compared with last month, official data showed Friday.

An index reading above 50 percent indicates logistics service expansion while a reading below reflects contraction.

The shrinking logistics activity last month is normal as rainy and snowy weather in south China and the upcoming Spring Festival holiday weighed upon business volume, according to He Hui, a senior researcher with China Logistics Information Center.

However, the sub-index for new orders rose by 1.1 percentage points to reach 54.1 percent, pointing to stronger logistics demand and steady logistics activity expansion in the near future.

The overall logistics index is likely to drop in February due to the Spring Festival holiday, according to He.

Chinese couriers delivered an estimated 40 billion parcels last year -- 110 million a day -- up 28 percent year-on-year.

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