Ezz_steel1
kuwait_steel1
imatal4
Ezz_Web_Banner_Side_280x200
qatar_steel2
banner_7_22_300e2
banner_bahrian_600
banner_bahrian_600

China’s industrial engine gathers speed

China’s industrial output accelerated the most in eight months in August, while retail sales grew for the first time this year, suggesting the economic recovery is gathering pace as demand starts to improve more broadly from the coronavirus crisis.

An annual decline in fixed-asset investment over January-August also moderated thanks to expanded stimulus from Beijing, but authorities remain wary about the outlook given heightened external risks, including from intensifying Sino-U.S. tensions.

After the pandemic paralysed the economy, China’s recovery has been gaining momentum as pent-up demand, government stimulus and surprisingly resilient exports propel a rebound. Floods across southwestern China that disrupted production in July have receded.

“Strong external demand, a further recovery from the pandemic and pent-up demand from the floods all contributed to the robust activity data in August,” Ting Lu, chief China economist at Nomura, said in a note to clients.

“We expect a further, albeit gradual, recovery of the services sector, a steady improvement in retail sales and elevated fixed-asset investment growth.”

Retail sales also beat analysts’ forecast with a 0.5% rise on-year, snapping a seven-month downturn and bettering expectations for zero growth. In July, sales dropped 1.1%, but consumer confidence has been picking up lately, from spending on automobiles and duty-free shopping.

Auto sales rose 11.8% in August year-on-year while sales of telecoms products jumped 25.1%, the data showed.

The decline in fixed-asset investment slowed, falling 0.3% in January-August from the year-ago period, compared with a forecast 0.4% slide and a larger 1.6% decline in the first seven months of the year.

Private sector fixed-asset investment, which accounts for 60% of total investment, fell a less steep 2.8% in January-August, compared with a 5.7% decline in the first seven months.

Property investment, a crucial growth driver, also jumped the most in 16 months in August.

In commodities, China posted record output in both crude steel and aluminium last month thanks to robust demand from the construction sector and recovery in automobile sales.

 

Share on twitter
Twitter
Share on facebook
Facebook

Related News

Ezz-780-1
kuwit-steel3
mih-1

Latest News

About AISU

Arab Iron and Steel Union ( AISU ) was established in Algeria in 1971 as the first Arab union of Arab countries to be established under the umbrella of the Council of Economic Unity in the League of Arab States.

AISU is a non-governmental organization of a private nature, not of a political or commercial nature.

AISU works in the field of preparing studies, organizing courses and holding periodic conferences for the prosperity of the Arab iron and steel industry. The union includes a wide range of companies with multiple activities related to the iron and steel industry.

Information About Union

92 Members

28 Board of Directors

17 Country

300.000 Employees

Subscribe Newsletter

Contact us

General Secretariat
Tel +21323304221 Fax +21323304254
Mail: relex@solbarab.org

Cairo Regional Office
Tel +20233356219 Fax +20233374790
Mail: aisucairo@solbarab.org

All rights reserved Arab Iron and Steel Union | 1971 - 2022

Powered by Mohamed Hamed