Rob Dobson, director at S&P Global, said there were “still signs for continued optimism” across the manufacturing sector.

China's manufacturing activity declined for the second consecutive month in August, with the PMI rising slightly to 49.8, surpassing economists' expectations of 49.6.

Although the sector remained in expansion, "warning signs" are starting to appear, said Susan Spence, chair of the Institute for Supply Management.

India's factory growth hits a five-year low in August, driven by weak demand and rising job losses, PMI reports.

India’s manufacturing PMI fell to 52.8 in August, a five-year low, as output and new orders growth weakened and employment contracted mildly.

August PMI falls to 45.8 as business activity and sales orders weaken.