BEIJING, Jan 6 Reuters China39;s services activity expanded at the fastest pace in seven months in December, driven by a surge in domestic demand, but orders from abroad declined, reflecting growing trade risks to the economy, a private sector survey showed on Monday.

The CaixinSP Global services purchasing managers39; index PMI rose to 52.2 in December from 51.5 the previous month. The growth pace was the fastest since May 2024, surpassing the 50mark that separates expansion from contraction on a monthly basis.

The findings broadly align with China39;s official PMI released last week, which indicated nonmanufacturing activity recovered to 52.2 from 50.0 in November.

China39;s economy has struggled over the past few years, weighed down by weak consumption and investment, and a severe property crisis. Exports, one of the few bright spots, could face more U.S. tariffs under a second Trump administration.

To revitalise the faltering economy, authorities introduced a blitz of fiscal and monetary measures in recent months.

Since late September, the synergy of existing policies and additional stimulus measures has continued to act on the market, producing more positive factors, said Wang Zhe, Senior Economist at Caixin Insight Group.

The survey showed the new business subindex rose to 52.7 in December from 51.8 in November. However, new business inflows from abroad fell for the first time since August 2023.

Companies reduced staff for the first time in four months,…