tokyo feb 21 reuters  japans manufacturing activity contracted at the fastest pace in 30 months in february a business survey showed on tuesday in a worrying sign for the worlds thirdlargest economy which is facing weakening demand and struggling to tame cost pressures the au jibun bank flash japan manufacturing purchasing managers index pmi fell to a seasonally adjusted 474 in february from a final 489 in the previous month the index stayed below the 50level that separates contraction from expansion for a fourth consecutive month and marked the largest decline since august 2020s 472 factory output and new orders decreased for an eighth straight month and at faster rates than january the subindex data showed export orders logged the biggest decrease since july 2020 on relentlessly weak global demand as seen in recent indicators such as the slowerthanexpected gross domestic product growth in octoberdecember and januarys record trade deficit by contrast servicesector activity grew for a six month with further relaxation of domestic covid19 countermeasures the government last month said it would downgrade the coronaviruss public health classification in may the au jibun bank flash services pmi rose to an eightmonthhigh of 536 seasonally adjusted in february from the previous months 523 final service providers posted sharper rises in activity and new business as the latest wave of the covid19 pandemic faded providing a boost to demand said andrew harker economics director at sp global market intelligence which compiles the survey but service firms input costs rose at the fastest pace in eight months while the inflation for prices they charged to customers only advanced to a twomonthhigh indicating thinner profits companies will be hoping to see price pressures ease meaningfully in the coming months to provide some support to customer demand said harker despite the challenged cost environment service operators confidence improved with the business sentiment subindex rising from a 10monthlow overall the au jibun bank flash japan composite pmi was at 507 in february in line with last months final figure as the gloomy manufacturing index was offset by a rosy service pmi