The Logistics Industry Prosperity Index in October Was 52.9%, And Logistics Activities Remained Relatively Active

According to data released by the China Federation of Logistics and Purchasing on November 2nd, the prosperity index of China's logistics industry in October 2023 was 52.9%, a decrease of 0.6 percentage points from the previous month. The total business volume index slightly corrected, but continued to remain within the expansion range.
From an industry perspective, the total business volume index of railway transportation, air transportation, warehousing and logistics, postal express delivery, and other industries are all in the boom range. Among them, the total business volume index of road transportation has been at a good level of over 52% for several consecutive months, and the demand for bulk material transportation has been boosted. The total business volume index of railway transportation is 52.6%, a month on month increase of 0.5 percentage points. Driven by the growth of fresh product shopping and e-commerce online shopping, the development momentum of aviation logistics and e-commerce express logistics is good. The total business index of the aviation transportation industry is 53.9%, and the total business index of the postal express industry is 65.2%, both of which are in a relatively high prosperity range.
The new order index and expected index are both in the expansion range. In October, the new order index was 52.8%, a decrease of 0.5 percentage points compared to the previous month. Although the average has slightly declined, the new order index of railway transportation, road transportation, air transportation, and postal express delivery industries are all above the industry average. Among them, the new order index of road transportation industry is 53%, a month on month increase of 0.9 percentage points. In terms of business activity expectations, the majority of logistics industry business activity expectations index is above 55%.
In addition, the profit margin index of the main business of enterprises remained unchanged month on month in October, while the profit margin index of small and micro enterprises' main business rebounded by 0.3 and 0.5 percentage points respectively. Looking at different industries, the profit margin index of road transportation industry and postal express delivery owner business has rebounded by 2 and 0.7 percentage points respectively, while the profit margin index of main business in industries such as air transportation, pipeline transportation, warehousing, and multimodal transportation has remained in the expansion range.
He Hui, Chief Economist of the China Federation of Logistics and Purchasing, said that the logistics industry prosperity index in October slightly decreased compared to the previous month, but the logistics industry activity still maintains an expanding trend. The total business volume index and new order index are both in the expansion range, with balanced growth in the three major regions, and logistics activities in each region still maintain good activity. In the later stage, the macro economy has development resilience, the endogenous driving force of economic growth will be steadily released, and logistics operations have a stable foundation.
On the one hand, it is the continuous driving force of residents' consumption momentum, and on the other hand, multiple policies to stabilize investment and expectations have been introduced to promote the gradual recovery of demand in the upstream and downstream of the supply chain, "said Hu Enthalpy, Director of the Logistics Statistics Department of the China Logistics Information Center.