China's fixed-asset investment increased 5.6 percent from a year earlier to CNY 21.75 trillion in January to May 2019, compared to a 6.1 percent rise in the first four months of the year and below market consensus of 6.1 percent, as investment growth slowed for both private (5.3 percent vs 5.5 percent in January-April) and public investment (7.2 percent vs 7.8 percent). By sector, fixed-asset investment in transport, storage and postal industry rose at softer pace (5.0 percent vs 6.5 percent) while that in agriculture, forestry, animal husbandry; fishery shrank (-2.7 percent vs 0.1 percent). On the other hand, fixed-asset investment grew faster for: manufacturing (2.7 percent vs 2.5 percent); utilities (0.8 percent vs 0.5 percent); water conservancy, environment and public facilities management (1.4 percent vs 1.1 percent); and mining (26.1 percent vs 25.7 percent). Fixed Asset Investment in China averaged 19.73 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 5.90 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 5.50 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.