(Yicai Global) Aug. 1 -- The unofficial Caixin China Manufacturing PMI for last month published today reached 51.1 -- 0.7 % higher than June's -- and the peak over the past four months.

The accelerated growth of new business volume, rising prices, and especially better external demand have further boosted China's manufacturing industry, Caixin reported. Last month's new orders showed the most significant growth over the past five months. Manufacturers interviewed all said market conditions were improving, while overseas demand was robust. The new export order index was the second highest since September 2014.

To meet growing demand, manufacturers continued to increase output last month, and the output index was also the highest since February.

The input cost in the manufacturing industry in July also rose to the apex over the last four months. Many manufacturers interviewed revealed that it was because of the hike of raw material prices. In this case, manufacturers raised the cost price for two consecutive months, and the price growth rate was higher than the previous month. However, manufacturers kept a prudent attitude in employment, further shrinking the employment scale and causing the highest rate of contraction over the past ten months.

Noteworthy is that, compared to the uptrend of China's statistics from Caixin, the manufacturing PMI for July the National Bureau of Statistics published was 51.4, 0.3% lower than June's, and the non-manufacturing PMI was 54.5. Although both are basically at the same level as the first half year's average and are consistently fluctuating within the upbeat range, the market inevitably frets that China's economic momentum will slow in the second half.