China sees industrial growth at 12% in ’12

Miao was quoted by the radio as saying that China’s industrial development in 2012 “would not be optimistic” partly due to an uncertain global economy.

China’s industrial sector has lost steam in recent months with annual industrial output growth falling to 12.4 per cent in November from 13.2 per cent in October and down from the year’s high point of 15.1 per cent in June. The annual rise of China’s industrial output,which covers enterprises with a minimum annual revenue of 20 million yuan ($3.16 million),is closely correlated with GDP growth in the world’s second biggest economy. An 11 per cent annual expansion in industrial output is regarded by Beijing as appropriate to achieve an annual 8 per cent GDP growth rate. Miao’s ministry had an 11 per cent target of industrial output growth for both 2010 and 2011.

China’s latest five-year plan targets an average annual GDP growth rate of 7 per cent over the five-year period,with industrial output targeted at 10 per cent.

Miao said China would try to cut energy consumption for every yuan of industrial output by 5 per cent in 2012,and cut water consumption by 7 per cent.

The focus will be put on consolidation of key industries like steel,cement and automobiles.