A latest survey, carried out by the mutual efforts from HSBC and Markit Economics, has revealed a third successive month of tightening in the manufacturing sector. The survey findings have played a role to fluctuate the stock market, across the globe, on Thursday. The survey has also pinpointed the shrinkage in companies.

On the other hand, huge loans granted to state-owned enterprises as well as local governments, during the past three years, are believed to cast a negative impact, in case the economy has not performed well.

"Just as the authorities are managing to hammer down demand growth, the rest of the world is not looking healthy, so there's going to be an export shock", commented a Hong Kong-based economist for Lombard Street Research, Diana Choyleva.

In addition, the economist has also estimated that the alliance of tough monetary policy and weak demand of Chinese export together can affect the Chinese economy to a significant level. Further, she has expressed serious concerns that it would take the annualized rate constant.

Meanwhile, the Spokesman of the Chinese Foreign Ministry, Hong Lei, claimed that a majority of American companies depend a lot on imports from China.