The RatingDog China General Services PMI eased to 52.1 in March 2026 from a near three-year high of 56.7 in February, below the expected 53.7, and marking the slowest services expansion in three months. New business grew at its weakest pace since April 2025, with domestic markets remaining a key driver of demand. International new business also dipped slightly after strong growth in the first two months of the year. Despite slower new business growth, outstanding work continued to rise on February’s strong demand. Firms reduced staffing at the fastest pace in six months, though overall job cuts remained modest. Average input prices rose marginally due to higher fuel, raw materials, and labor costs, alongside promotional activities, allowing services firms to lower charges to support sales. Business confidence stayed positive, underpinned by expectations of improved market conditions and expansion plans.

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