China Oct industrial output, retail sales beat expectations

- Advertisement -


BEIJING (Businesshala) – Despite new restrictions to control the COVID-19 outbreak and supply shortages that threaten to curtail recovery in the world’s second-largest economy, China’s industrial output in October rose astonishingly. grew rapidly.

FILE PHOTO: A worker inspects a circuit board on a controller production line at a Gree factory, following the outbreak of the coronavirus disease (COVID-19), in Wuhan, Hubei province, China August 16, 2021. China Daily via Businesshala

China’s industrial output rose 3.5% in October from the same period a year ago, official data showed on Monday, sharper than a 3.1% increase in September. Retail sales also picked up.

- Advertisement -

Industrial production growth beat expectations of 3.0% year-on-year growth in a Businesshala poll of analysts.

Retail sales in October grew by 4.9% this year compared to the same period last year. Analysts in the survey had expected them to grow 3.5% in October, after rising 4.4% in September.

Fixed asset investment slowed, however, rising 6.1% in the first 10 months from the same period a year ago, compared to a 6.2% increase tipped by a Businesshala poll and 7.3% in January-September.

China’s huge manufacturing sector has slowed this year, with production growing in September at the weakest pace since March 2020 due to environmental restrictions, power rationing and high raw material prices.

Sentiment has been shaken by the deepening debt crisis in China’s property market, with property giants China Evergrande and Casa Group battling defaults.

Regulators and the State Council think-tank have held meetings with developers over the past few weeks, and the market is expecting some easing of loan and housing policies to prevent a hard landing for the sector.

China is also battling a new wave of COVID-19 cases in the north.

The economy staged an impressive rebound from last year’s pandemic slowdown, but has since lost some momentum.

GDP grew 4.9% in the third quarter from a year earlier, its slowest pace in a year.

China’s Official Purchasing Managers’ Index declined factory activity for the second straight month in October, hurt by persistently high raw material prices and soft domestic demand.

Reporting by Gabriel Crossley and Albie Zhang; Editing by Sam Holmes and Ana Nicolasi da Costa

,

- Advertisement -

Stay on top - Get the daily news in your inbox

DMCA / Correction Notice

Recent Articles

Related Stories

Stay on top - Get the daily news in your inbox