China’s GDP increases by 9.6% in the Third Quarter, Inflation rises 2.9%

By FxNewsChina.com

China’s gross domestic product continued to grow at a robust pace in the third quarter of 2010, according to the latest data released by the National Bureau of Statistics. The Chinese GDP increased by 9.6 percent in the third quarter of 2010 from the third quarter of 2009. Despite the rapid GDP growth pace, this is the third straight quarter of decline in the GDP following the 10.3 percent advance in the second quarter and the 11.9 percent growth in the first quarter.

Economic analysts were expecting the GDP numbers to register a 9.5 percent gain for the third quarter.

Sheng Laiyun, the Spokesman for National Bureau of Statistics of China, stated that, “In the first three quarters of 2010, faced with the complicated and volatile domestic and international environment and various grand challenges, under the correct leadership of the Central Party Committee and the State Council, all regions and departments consistently carried out the packages of policies dealing with the impacts of international financial crisis and other policies and measures, and proactively pushed forward the transformation of economic development mode and the adjustment of economic structures.”

“As a result, the good developing momentum of economy was further consolidated, and the national economy kept moving towards the expected direction of macro economic control.”

Government report highlights

• According to the report, China’s GDP grew by 10.6 percent for the first three quarters of 2010 on an annual basis to a total 26,866.0 billion yuan.

• Industrial production in China had growth of 13.5 percent in the third quarter of 2010 following 15.9 percent growth in the second quarter and 19.6 percent growth in the first quarter.

• Chinese retail sales data rose by 18.3 percent through the first three quarters of 2010 on an annual basis to a total of 11,102.9 billion yuan. The data shows that furniture sales decreased by 38.4 percent while motor vehicle sales advanced by 34.9 percent and household appliances and audio video equipment sales rose by 28.1 percent.

• Consumer price inflation, a worry for the Chinese economy, increased by 2.9 percent in the first three quarters of 2010. Food prices were higher by 6.1 percent while tobacco, liquor and articles prices rose by 1.6 percent, health care prices increased by 2.9 percent and housing prices gained by 4.1 percent. Clothing prices fell by 1.1 percent, transportation take medication prices declined by 0.3 percent and household facilities & and maintenance services fell by 0.3 percent.

• Producer prices rose by 5.5 percent on an annual basis while the September annual change was an increase by 4.3 percent. The August to September month on month change was an increase of 0.6 percent.

Read the full report from the National Bureau of Statistics.

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By FxNewsChina.com