Sina
Edition: CHINAASIAUSAEUROPEAFRICA
Home > Business
Wednesday, March 11, 2015, 14:48

China's industrial output grows 6.8% in Jan-Feb

By Agencies
China's industrial output grows 6.8% in Jan-Feb

BEIJING - Industrial output in China grew 6.8 percent year on year in the first two months of 2015, down 1.1 percentage points compared to growth for December, the National Bureau of Statistics announced on Wednesday.

Growth in China's investment, retail sales and factory output all missed forecasts in January and February, leaving investors with little doubt that the economy is still losing steam.

Fixed-asset investment, a crucial driver of the world's second-largest economy, rose 13.9 percent to 3.45 trillion yuan (US$560.06 billion) year on year in the first two months in 2015, the National Bureau of Statistics announced on Wednesday.  

Also, investment in China's property sector rose 10.4 percent year on year to 878.6 billion yuan (US$142.6 billion) in the first two months of 2015, the National Bureau of Statistics announced Wednesday.

Retail sales climbed 10.7 percent in the first two months.

The figures came a day after data showed deflationary pressures in the factory sector intensified in February, and is likely to reinforce expectations of more interest rate cuts and other policy loosening to avert a sharper slowdown in the world's second-biggest economy.

Sluggish factory activity reinforces expectations that China's economic growth will slow to a quarter-century low of around 7 percent this year from 7.4 percent in 2014, even with expected additional stimulus measures.

Power generation rose 1.9 percent in January and February from a year earlier, well below 3.2 percent seen in all of 2014, which was the slowest growth rate in 16 years.

The Chinese economy has had a rough ride in the last 15 months as a property downturn compounded slackening growth in foreign and domestic demand and persistent industrial overcapacity.

Policymakers have cut interest rates twice since November, and in early February reduced the amount of cash that banks must hold as reserves in a bid to spur lending.

 

 
 
 
Latest News