China needs ‘arduous efforts’ to meet 2019 industrial output goal | 2019-07-24

China needs ‘arduous efforts’ to meet 2019 industrial output goal

24 July, 2019 12:00 AM printer

BEIJING: China's industry ministry said on Tuesday that "arduous efforts" will be needed to achieve this year's industrial output growth target, as trade protectionism weighs on exports and clouds the outlook for the world's second-largest economy.

Ongoing reforms and restructuring of the country's industrial sectors pose additional challenges, vice industry and information technology minister Xin Guobin told reporters at a news conference in Beijing, report agencies.

China's economic growth slowed to 6.2 per cent in the second quarter, its weakest pace in at least 27 years, as demand at home and abroad faltered in the face of mounting US trade pressure.

Beijing has said it can still meet its 2019 growth target of between 6 per cent and 6.5 per cent and continues to roll out stimulus measures to prop up activity.

China set a 2019 industrial output growth target of 5.5-6.0 per cent.

Output growth fell to a 17-year low of 5.0 per cent in May from a year earlier, but rebounded to 6.3 per cent in June. Still, analysts are unsure if the gains are sustainable, with the Sino-US trade war still raging and factory surveys showing new orders are continuing to shrink.

Output grew 6 per cent in the first half of the year, Mr Xin said, adding that the country still faces significant challenges in stabilising production given a big drop in growth of industrial product exports.