The Chinese economy is expected to slow to 9.3% growth this year and 8.8% in 2007 as overcapacity in some sectors starts to bite into growth, the State Information Center (SIC) has said. The forecast was reported in the official China Securities Journal. "Currently, some industries face serious overcapacity," the report said. "And the negative influence of that overcapacity will start to fully show its effects in 2007, so the possibility of a slowdown in growth and entering a period of adjustment in 2007 is relatively large." The SIC is a think tank with close ties to national planning body the National Development and Reform Commission.