China's industrial output grew 10.9 percent during the first three months of this year compared with the same period of 2001, the National Bureau of Statistics said Wednesday.
The value of the country's industrial output for the three months stood at 649.4 billion yuan (US$78.2 billion), the bureau said.
Economist Hu Shaowei of the State Information Center said the growth rate is "better-than-expected,'' partly due to a pick-up in exports during the first three months.
The value of goods for export handled by the industrial enterprises reached 376 billion yuan (US$45.3 billion) during the three months, representing a year-on-year increase of 13.7 percent.
The export by companies involved in the industries of electronics and telecommunications equipment manufacturing, electric machinery and coal witnessed a strong growth momentum during the January-March period, with the value of exports rising between 14.5 percent and 66.5 percent, said Xu Jianyi, deputy director of the bureau's industrial and transportation statistics department.
Industrial output by heavy industry grew 10.6 percent during the three months to 389.8 billion yuan (US$47 billion), while that by light industry rose 11.3 percent to 259.6 billion yuan (US$31 billion), Xu said.
"Five major industries including the telecommunications equipment manufacturing, transportation equipment manufacturing and chemicals and metallurgical contributed 5.2 percent to the growth of industrial output,'' Xu said.
Niu Li, an economist with the State Information Center, said the rapid growth in industrial output is good news as it could boost general economic growth.
Premier Zhu Rongji said earlier last month that the country is aiming for 7 percent economic growth this year.
"The target is achievable, because domestic forces will continue to have great impact on the country's industrial sector and its economy as a whole this year,'' said Zhu.
China will issue 150 billion yuan (US$18 billion) worth of treasury bonds for construction this year.
The direct beneficiaries of new construction projects are heavy industries, which sell more goods such as steel and cement.
"Fixed assets investment in China will play a decisive role in maintaining an economic growth target of 7 percent in 2002,'' Hu said.
Experiences gained from developed countries suggest that if a country's fixed assets investment grew at a higher rate, the country's gross domestic product (GDP) growth would be higher, Hu said.
China's fixed assets investment is expected to grow 11 percent this year, he added.
Domestic consumption, which mainly benefits light industry such as air-conditioners and color TVs, is also expected to grow 10 percent.
(China Daily April 11, 2002)
