China’s industrial output in November grew by 5.4 per cent YoY, the lowest monthly growth rate recorded by the country since 1999, according to the National Bureau of Statistics.
The November growth rate represents a 2.8 percentage point drop from that of October, and an 11.9 percentage point tumble from the rate recorded in November 2007, though the country’s industrial output in the 11 months between January and November still expanded by 13.7 percent on an annual basis.
China’s industrial output figures are calculated with output from all state-owned and privately-owned enterprises operating in the country with annual revenues larger than RMB 5 million ($729,927.01).
In terms of output, the steel product, automobile and power generation sectors all posted substantial year-on-year drops over the month. China’s export-driven market is facing pressure from economic turmoil overseas, as demonstrated by key data released this month that showed a faster-than-expected economic slowdown. Experts told Interfax that China may see its gross domestic product (GDP) growth in 2009 fall to below 8 percent on an annual basis.
In response to the slowing economy, the State Council decided on Dec. 13 to raise the country’s money supply by 17 percent in 2009. The State Council said it would further improve currency supply by suspending three-year bank notes, halting the issuance of shorter-term bank notes and encouraging commercial banks to increase lending for centrally-invested projects, state-run Xinhua news agency reported on Nov. 14.