(fxcue news) - China's manufacturing activity logged a faster growth in February underpinned by rises in both output and new orders, survey data published by S&P Global showed on Monday. The Caixin manufacturing Purchasing Managers' Index rose to 50.8 from 50.1 in the previous month. The reading was seen at 50.4. The index has remained above the threshold 50.0 mark for the fifth straight month suggesting expansion. The score suggested only a marginal improvement in operating conditions but this was the best output since last November, the survey showed. There were concurrent uplifts in both production and new orders. Output and new orders grew the most since last November. The increase in new orders reflects a general improvement in economic conditions and the introduction of new products. New exports business rose for the first time since November. Higher production ramped up purchasing activity and input inventories of manufacturers declined for the first time since last July. Manufacturers recorded another drop in staffing levels, extending the current period of decline to six months. On the price front, input price inflation rose marginally, providing room for manufacturers to offer discounts to clients. Output charges decreased for a third straight month. Confidence among manufacturers improved further in February. Stronger market demand is expected, with planned new product launches set to bolster sales and subsequently production in the coming year. "Nonetheless, China's economy still faces significant challenges, with rising uncertainties in employment and household income constraining efforts to boost domestic demand and stabilize the economy," said Caixin Insight Group senior economist Wang Zhe.