China to ‘trigger the vigour’ of manufacturers hit by US trade war
- State Council says it will move to ‘trigger the vigour’ of the sector and boost small and private enterprises
- Shipments of merchandise to the US fell sharply in the first 11 months of last year as tariffs took their toll
Beijing has promised to extend more relief measures to manufacturers hit by the US trade war as it moves to promote the sector and ensure steady growth this year.
At Friday’s State Council meeting, headed by Premier Li Keqiang, the manufacturing sector was praised for“fundamentally supporting” economic growth.
“[We] must resort to reforms and market-oriented measures to fully trigger the vigour of market entities,” the cabinet said.
Merchandise shipments to the United States dropped 12.5 per cent in the first 11 months of last year as tariffs took their toll, while overall exports fell by 0.3 per cent over the same period.
[We] must resort to reforms and market-oriented measures to fully trigger the vigour of market entities
Domestically, the lowest growth rate in almost three decades also weighed heavily on manufacturers, with national industrial profits falling by 2.1 per cent in the January-November period. Industrial output growth also fell by 0.7 percentage points to 5.6 per cent.
The authorities said they would focus on cutting fees levied on the manufacturing sector this year, including measures to reduce telecoms surcharges and cut power costs by allowing business to trade with power generators.