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Real estate slowdown in China strongly impacts third- and fourth-tier cities

Monday, 28 March 2016 09:41:52 (GMT+3)   |   Shanghai
       
On March 24, Ren Xingzhou, director of the Development Research Center of China’s State Coucil (DRC), stated at the 14th International Steel Market and Trade Conference held in Foshan, Guangdong Province that China’s real estate market had recorded respective year-on-year growth rates of 11.4 percent, 19.4 percent and 10.5 percent in 2012, 2013 and 2014, while it recorded only slight growth of one percent in 2015, reflecting the slowdown of investment in the real estate sector. He observed that more rapid growth rates were observed in first and second-tier cities in China, while the real estate market in third- and fourth-tier cities in China faces destocking issues and is characterized by negative sentiment. Mr. Ren Xingzhou stated that effective measures should be taken to ensure a more balance growth rate in the real estate market in all Chinese cities.

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