Hong Kong
(AsiaNews / Agencies) - The profits of industrial production in China fell for
a fourth consecutive month, adding to fears of a major slowdown in the Asian
giant.
According
to the Bureau of Statistics, which released its data today, the gains in
industrial production fell by 5.4% in July compared to a year ago, in June they
fell 1.7. The
Chinese companies are being hit by diminishing demand from Europe and the
United States affected by the crisis, at the same time, domestic demand remains
weak.
A
few days ago, other official data showed that China's exports in July grew by
only 1% in a year, in June, the growth was 11.3%.
The
second world economy, based on exports and cheap labor, after decades of growth
is showing signs of fatigue. In
the second quarter of 2012 it grew by 7.6, the lowest value in the last three
years.
Two
days ago, Premier Wen Jiabao, on a visit to Guangdong, the region with highest
exports, announced that new measures are required to support export and help
the economy to keep up target growth. But it is
not clear the form this stimulus will take. At
the beginning of the subprime crisis (2009), China released a 4 trillion Yuan
(502 billion Euros) in aid
and loans. But this has led to an increase in inflation and a rise in house
prices, risking a building bubble.
At
present, the Chinese government has just cut interest rates on loans. The
publication of data on the earnings of industrial production has brought Asian
markets down. Shanghai
has dropped by 1.3%.
The
decrease in production, profits and slowing of the economy seems to have no
impact on employment. Official
figures claim that unemployment is still at 4.1%.