China's manufacturing industry may experience a sixth consecutive contraction in April but at a slower pace, thanks to the government's earlier easing measures, HSBC Holdings Plc said on Monday.

The HSBC Flash Purchasing Managers Index (PMI), a preliminary indicator of the operating conditions in the domestic manufacturing sector, increased to 49.1 in April from 48.3 in March, showing a rebound of real economic activity, a report from the bank said.

The HSBC prediction is based on the monthly replies to questionnaires for more than 420 manufacturing companies' purchasing executives. A reading below 50 means contraction, while that above 50 indicates expansion.

Qu Hongbin, chief economist in China with HSBC, said: "This suggests that the earlier easing measures have started to work and hence should ease concerns of a sharp growth slowdown."

According to the report, the sub-indices that respectively showed manufacturing output, new export orders and employment were all under the 50 boundary value. In consequence, there may be a need for more easing policies in the coming months to boost economic growth, said Qu.

"We expect monetary and fiscal easing to speed up in the second quarter," he said.

chenjia1@chinadaily.com.cn