Auto growth forecast cut

Growth forecasts for China's automobile industry output in 2004 have been cut by more than half in the face of sluggish domestic car sales. The National Bureau of Statistics adjusted its sales forecast to 2.39 million cars down from 2.82 million � cutting the expected growth forecast this year from 40% to 18%. An official from the bureau blamed �adverse market conditions� for the change. For the first eight months of 2004, car output and sales in China stood at 171,900 units and 170,300 units respectively, up just 0.02% and 0.23% from a year earlier. In 2003 output and sales growth rates stood at 83% and 75% respectively. Analysts said the downturn in growth was the result of government controls on car loans, soaring oil prices and consumers' anticipation of further price cuts.