China press on a huge spike in sales of heavy construction machinery - new boom?
A weekend piece in the South China Morning Post on
A spike in sales of construction equipment,
improved profitability at industrial enterprises,
surge in the prices of raw materials such as coal and steel,
fuelling the debate about whether China has entered a new boom cycle.
Data from the excavating machinery branch of the China Construction Machinery Association:
- sales of excavators in China in the first eight months of the year rose by a massive 111.1% y/y
- Says an expansion rate is unprecedented
- Surpassing the +78% between 2009 and 2010 ... in that period, however, volume sales were significantly higher
The full piece is here if you'd like to check it out for more on what Ren Zeping, chief economist at Beijing-based Founder Securities and a former researcher for China's cabinet, says is his "new cycle theory".
This would a positive input for the AUD ... and note I just posted on a negative input: Australia press: China to restrict coal imports? To provide support to local industry
Its lucky we have a market to sort out these competing inputs!