Industrial output grows less than 2007
January 25, 2009
CHINA’S industrial output rose 12.9 percent year on year in 2008, or 5.6 percentage points less than the previous year, the National Bureau of Statistics said yesterday.
Output climbed 5.7 percent in December, up slightly from the 5.4-percent growth rate in November. However, the December figure was 11.7 percentage points lower than a year earlier, and it was also much lower than any of the first 10 months of 2008.
Output of state-owned enterprises and shareholding companies rose 9.1 percent and 15 percent, respectively. These figures include companies with annual sales of at least 5 million yuan (US$731,283), the point at which companies in China are classified as medium to large-scale.
Output of companies funded by foreign investors or investors from Hong Kong, Macau and Taiwan rose 9.9 percent.
Heavy industrial output rose 13.2 percent, while that of light industry gained 12.3 percent.
The bureau’s data showed aggregate industrial profits hit 2.4 trillion yuan in the first 11 months of last year, up 4.9 percent compared with the same period in 2007. However, the growth rate fell a sharp 31.8 percentage points from a year earlier.
Of 39 industries surveyed, 31 reported year-on-year profit growth. The five fastest growth rates were recorded by petroleum and natural gas extraction, coal mining, transport equipment manufacturing, chemical production and metals processing.
Industrial production growth slowed along with a weakening global economy, which reduced market prices as well as domestic and foreign demand, analysts said.
“Weakening demand, especially overseas, was a major cause of China’s slowdown, as more than 30 percent of GDP comes from trade-related industries,” said Tang Min, deputy secretary of the China Development Research Foundation.
He forecast the economy would begin to improve in the second or third quarter as a national 4-trillion-yuan stimulus package took effect and boosted domestic demand for industrial products.
Ma Jiantang, the bureau’s head, called the December rebound a “positive sign” for China’s industrial production.
“The growth rate of industrial output was 0.3 percentage point higher than November. Small as it is, it’s an important change in industrial activity” and could help China’s economy to rebound, he said.
Ma said 16 of the 39 industries surveyed had shown a month-on-month rise in output growth.
A survey conducted by the bureau earlier this month showed steel, coal, ferrous metal and chemical product prices began to rebound after prolonged declines during the second half of 2008, Ma said.
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China’s economy grows 9% in 2008
January 22, 2009
CHINA’S gross domestic product (GDP) reached 30.0670 trillion yuan (US$4.4216 trillion) in 2008, up 9 percent year on year, said the National Bureau of Statistics (NBS) today.
The growth was the slowest since 2001, when an annual rate of 8.3 percent was recorded, and the first time below a double-digit level since 2003.
The overall national economy maintained the good developing momentum of fast growth, stable prices, optimized structures and improved welfare, said Ma Jiantang, director of the NBS, at a press conference.
The annual growth rate for the fourth quarter dipped to 6.8 percent from 9.0 percent in the third quarter and 9.9 percent for the first three quarters, according to Ma.
“The international financial crisis is deepening and spreading, while its negative impact on domestic economy is continuing,” said Ma.
Despite the fourth-quarter slowdown, Ma said the 9-percent pace was “still a high figure”.
China’s performance was better than the average growth of 3.7 percent for the world economy last year, 1.4 percent for developed countries and 6.6 percent for developing and emerging economies, he said, citing estimates of the International Monetary Fund.
“With a 9-percent rate, China actually contributed to more than20 percent of the global economic growth in 2008,” said Ma.
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Yuan may stay strong against dollar / Update-1
December 22, 2008
This an update for those who are interested to the yuan’s exchange rate. The possibility for Yuan’s depreciation is getting lower because of intrest rate cuts of FED in USA. Currency news update :
THE yuan will likely remain strong against the United States dollar as recent rate cuts by the Federal Reserve have reduced the greenback’s appeal, experts said.
The Chinese currency gained against the US dollar last week and finished at 6.8395 on Friday, according to the China Foreign Exchange Trade System. The yuan was at 6.8451 at the end of the previous week.
The Fed lowered the key US interest rate on Tuesday to a record range of zero to 0.25 percent.
“The direct effect of the slash in rates is an overall selling of the US dollar and the weakening American economy is not likely to provide enough support for a strong dollar,” said a research note by Zhang Zhigang, a foreign exchange trader at the Agricultural Bank of China.
Chinese Minister of Commerce Chen Deming said on Wednesday that China will not rely on the yuan’s depreciation to stimulate exports and will maintain a stable currency.
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China expects economic growth by 10% in 2009
December 2, 2008
The Development Research Center of the State Council researcher Zhang Liqun said, China’s economy is expected to grow by 10 percent in 2009 despite the impact of the financial crisis and global economic downturn. Here you can read his remarks about the critical year of China’s economy.
China expects economic growth by 10% in 2009
By Xinhua
“Although dim world economic situation has led to weak overseas demand, domestic consumption and investments, vast development potential decided the country’s economy will grow at fast paces,” said Zhang Liqun, the Development Research Center of the State Council researcher.
He forecasted China’s economic growth would accelerate largely at the second half of next year.
Zhang said his remarks were based on the country’s huge domestic consumption, and investment potentials; sufficient fund, technology, labor and social security, and the government’s gradually mature macro-economic control measures.
“Personal income continues to increase as millions of migrant workers flow into the city to get their lives improved. Enlarging demand for houses and autos will form huge and lasting consuming power,” he said.
“However, domestic enterprises need to accelerate their paces in upgrading business structure, in a bid to better cope with severe world economic situation,” he said.
China’s gross domestic product (GDP) grew to 20.16 trillion yuan (2.96 trillion U.S. dollars) in the first three quarters of this year, up 9.9 percent from the same period of last year. The growth rate was 2.3 percentage points lower than the same period of last year.
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Yuan gains stall against firm dollar
September 14, 2008
THE yuan yesterday completed a third weekly loss on speculation China will favor a moderate pace of appreciation as industrial production grew at the slowest pace in six years on weaker export demand.
Gains in the currency, Asia’s best performer this year, stalled as the United States dollar index, which tracks the greenback against those of six trading partners, advanced 10 percent this quarter. Production rose 12.8 percent in August from a year earlier, the statistics bureau said yesterday, after gaining 14.7 percent in July, Bloomberg News reported. [Read more]
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