China's fixed-asset investment increased 5.5 percent from a year earlier to CNY 40.06 trillion in January to August 2019, compared to a 5.7 percent rise in the first seven months of the year and below market consensus of 5.6 percent, as private investment growth eased (4.9 percent vs 5.4 percent in January-July) while public investment rose by 7.1 percent, the same pace as in January – July period. By sector, fixed-asset investment went up softer for mining (26.2 percent vs 27.4 percent), manufacturing (2.6 percent vs 3.3 percent), and water conservancy, environment and public facilities management (2.4 percent vs 2.6 percent). In addition, investment in agriculture, forestry, fishery dropped more than a previous period (-3.0 percent vs -0.9 percent). On the other hand, fixed-asset investment grew faster for transport, storage and postal industry (5.5 percent vs 4.6 percent), while that in utilities rebounded (0.4 percent vs -0.5 percent). Fixed Asset Investment in China averaged 19.57 percent from 1996 until 2019, reaching an all time high of 53 percent in February of 2004 and a record low of 5.30 percent in August of 2018.
Fixed Asset Investment in China is expected to be 5.60 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Fixed Asset Investment in China to stand at 5.30 in 12 months time. In the long-term, the China Fixed Asset Investment is projected to trend around 5.30 percent in 2020, according to our econometric models.