2 Jul 2012

Manufacturing in China slowing

7:08 am on 2 July 2012

A survey shows China's manufacturing grew in June by its slowest pace in seven months, raising questions about efforts to prevent the world's second-biggest economy from slowing too quickly.

The China Federation of Logistics and Purchasing says its purchasing managers' index fell 0.2% to 50.2 in June.

A number above 50 signifies expansion. The index was at 50.4 in May and 53.3 in April.

The European debt crisis is pinching China's export manufacturers, while moves to control property prices have chilled construction spending, with worries economic growth will fall below 8% in the second quarter.

That is weak compared with years of double-digit growth and points to concerns about imports from countries reliant on Chinese demand.