China is expanding its manufacturing sector. The economic growth of the country would see a high in New Year as many manufacturing units are coming up. The manufacturing survey of December was at 20-month high.

As a result, the prices of inputs also rose, which were at a 17-month high in China. Purchasing managers' index (PMI) also jumped to 56.6 in December from 55.2 in the previous month. This level of PMI represents growth in the economy.

This was the 10th month showing growth consecutively. The activities such as employment, imports and new orders also grew. The new export orders component declined to 52.6 in December from 53.6 in November, the federation said.

"We expect China's strong economic growth momentum to continue in 2010, with the major source of growth coming from a broad-based improvement in private consumption, and further strengthening in private housing investment, and a solid recovery in exports," Jing Ulrich, chairman of China equities at J. P. Morgan in Hong Kong, said in a research note.

Growing demand in China has also open new doors for other Asian economies.