According to latest data released by the Ministry of Railways, China's railway fixed asset investment totaled CNY 425.2 billion in the first ten months of this year, 0.89% lower than the same period of 2011.
But investment grew fast in October, when railway fixed asset investment reached CNY 81 billion. Investment in railway infrastructure totaled CNY 69.8 billion up 240% from the same month last year and 8.5% from September.
In accordance with the investment plan of the Ministry of Railways, the fixed asset investment in railway sector is expected to reach CNY 630 billion in 2012, of which railway infrastructure investment would be CNY 516 billion. In that case, some CNY 204.8 billion of railway fixed asset investment and CNY 154.2 billion infrastructure investment should be targeted for November and December. The growth rate would be up to over 60% versus the corresponding period last year.
The implementation of railway infrastructure projects will surely lend a helping hand to stimulate demand for steel.
Source - www.steelhome.cn/en
China steel information centre and industry database
(www.steelguru.com)
