Manufacturing in China contracted for a second straight month in August, Reuters reported. The Purchasing Managers’ Index was a seasonally adjusted 48.4, unchanged from July, the China Federation of Logistics and Purchasing reported. A figure below 50 indicates contraction. Since July, China’s government has prioritized sustaining economic expansion over fighting inflation. The latest report suggests economic growth will continue to slow, said an economist at Lehman Brothers Holdings in Hong Kong. The output index rose to 48.7 in August from 47.4 in July, while the index of new orders fell to 46 from 46.2. The index of export orders climbed to 48.4 from 46.7.