The manufacturing activity in China has risen to its highest level in seven months during the month of November indicating that the Chinese economy is recovering from the prolonged slowdown.

The China Federation of Logistics & Purchasing's monthly purchasing managers' index rose to 50.6 compared to 50.2 in October. On the index, any rating above 50 means expansion while that below 50 means contraction. The index measures overall manufacturing activity and includes orders, employment and actual production.

The China Federation of Logistics also said that orders rose 0.8 points from the previous month to 51.2 while export orders increased 0.9 points to 50.2. This indicates that the economy is likely to record high growth in the coming future.

The latest figures renew faith that the world's second-largest economy is starting to recover while Europe's continues to face debt crisis and American economy faces stagnation. Experts say that there are indications that the growth may have bottomed out but there is a need to remain cautious about the sustainability of the recent growth trends in the Chinese economy.

The Chinese economy has recorded a growth rate of 7.4 percent in the three months till September, which is its lowest in three years.