China’s Service Sector Jumps to a 3-Month High in January

China’s service industry kicked off 2026 with its fastest growth in three months, according to the latest RatingDog General Services PMI data. The headline Business Activity Index rose to 52.3 in January from 52.0 in December, extending the country’s service sector growth streak to over three years. The expansion was led by stronger new business inflows, supported by a rise in new export orders and successful promotional efforts. Companies hired additional staff for the first time in six months to manage growing workloads. The broader Composite Output Index, combining services and manufacturing, climbed to 51.6 from 51.3, signaling an acceleration in overall business activity. Stocks responded positively as total new orders surged, staffing levels increased, and companies managed backlogs efficiently. Despite these gains, business confidence softened slightly due to global economic uncertainty.