An official gauge of China factory output was flat in October judged month-on-month. But the October reading meant nonetheless that manufacturing activity in the country shrank for a third straight month.

The National Bureau of Statistics of China announced on Sunday the Purchasing Managers’ Index (PMI) for the manufacturing sector was 49.8 in October, the same as in the previous month.

A reading below 50 points suggests a contraction in activities while one above that level indicates an expansion.

“Because of the recent weak recovery in the global economy and downward pressure in the domestic economy, manufacturers still face a severe import and export situation,” Zhao Qinghe, a senior analyst at the statistics bureau said in a statement accompanying the results.

The bureau additionally noted that the PMI in the services sector was 53.1 in October, falling by 0.3 percentage points from September. Despite an expansion, it was the lowest reading since the global financial crisis in late 2008.

The Chinese Government has cut central bank interest rates six times since November last year. It has also reduced the amount of cash that banks must hold as reserves – known as the reserve requirement ratio (RRR) – four times this year. The moves have coincided with a reduction of momentum in China’s economic growth.

China’s gross domestic product grew 6.9 percent in the third quarter of this year; the slowest rate in more than six years.