TOKYO: Asia’s factory activity contracted in January as the boost from China’s COVID reopening had yet to offset headwinds from slowing US and European growth, surveys showed on Wednesday, underscoring the fragility of the region’s economic recovery.

China’s factory activity shrank more slowly in January after Beijing lifted tough COVID curbs late last year, a private sector survey showed.

Softening input-price pressures also offered initial positive signs for Asia, with the pace of contraction in output slowing in Japan and South Korea, the surveys showed.

But there is uncertainty about whether Asia can weather the hit from slowing global demand and stubbornly high inflation, some analysts say. “The worst of Asia’s downturn is behind, but the outlook is clouded by weaknesses in major export destinations like the United States and Europe,” said Toru Nishihama, chief economist at Dai-ichi Life Research Institute in Tokyo.

“With the recovery from COVID-19 under way, Asian economies need a new growth engine. There isn’t one so far.” China’s Caixin/S&P Global manufacturing purchasing managers’ index (PMI) nudged up to 49.2 in January from 49.0 in the previous month, staying below the 50 mark that separates growth from contraction for a sixth straight month.