Statistics from the National Statistics Bureau indicate that China's construction industry has completed a production value of 1,009.7 billion yuan (US$122.24 billion) in the first half of 2004, up 27.5 percent over the same period of the previous year.

But the increase margin of the six months was 3.8 percent lower than this year's first quarter, it said.

According to the bureau, the government's macroeconomic measures are gradually paying off. This means that construction companies are not building as much and as a result their production value growth slows slightly.

"Both the enterprises' operational efficiency and profits are generally sound," said the bureau.

Construction enterprises have signed contracts worth 2,607.8 billion yuan (US$315.7 billion) during the first half year, up 34.7 percent year-on-year, it said.

(Xinhua News Agency August 5, 2004)