China eyes strategic industries to cushion fall as economy stutters

China will step up efforts to boost the development of seven strategic emerging industries to cushion downward pressure on the world’s second-largest economy, a senior official of the country’s top planning agency said on Monday.

China will step up efforts to boost the development of seven strategic emerging industries to cushion downward pressure on the world’s second-largest economy, a senior official of the country’s top planning agency said on Monday.

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“When the economic outlook is not good, developing strategic industries will definitely help alleviate downward pressure on the economy,” said Zhang Xiaoqiang, vice-chairman of the National Development and Reform Commission, in an online interview published on the government’s website.

He said such emerging sectors had outpaced growth in traditional industries in recent months and could serve as a new growth engine for the economy. “When in a crisis, in addition to helping traditional industries to weather difficulties, we have to take a longer view and develop new bright spots of growth to achieve an early economic recovery,” Zhang said.

China’s annual economic growth cooled to 7.6% in April-June period, the slackest in more than three years.

The seven strategic sectors, accounting for about 3% of GDP at the end of 2010, include energy-saving and environmental protection, next generation information technology, bio-technology, advanced equipment manufacturing, new energy, new materials and new-energy vehicles.