Industrial output slowed again in November after a brief spurt in October, reflecting a slump in production of energy, and of collectively owned industries and foreign firms.
Meanwhile, a leading economist urged the authorities to make the property sector the main growth engine next year, forecasting the economy would expand between 8 and 10 per cent next year from 9 per cent this year.
The State Statistical Bureau said industrial output last month rose 11.6 per cent to 188.4 billion yuan (about HK$175.39 billion), but was year-on-year growth was down from 11.8 per cent in October.
The October recovery appears to have been a blip, as industrial output seems to have resumed the downward trend seen since the start of the year. Economists said the decline reflected weak demand, build-up in inventories and over-capacity in the economy.
Figures showed that the collectively owned enterprises, foreign firms and private firms had been particularly hit.
Output of collectively owned firms last month rose 12.7 per cent, down from 13.1 per cent in October, while output of other industries, mainly in the private sector, rose by 12.6 per cent, down from 15.1 per cent in October.