This has some important implications for property. Anhui Conch Cement, China’s biggest maker of the building material, said prices will decrease early next year on cooling demand for new property and infrastructure in some regions.
The slump in China’s property market may cause the company to be more ‘cautious’ in planning future expansion. The company will go through with already-planned investments and banks are continuing to extend funds even amid the global credit crunch.
The national-average selling price of cement in China was RMB325 ($48) a ton in the first half of this year, compared with RMB295 in the same period a year earlier, according to the Web site Digital Cement.