China’s Premier Wen Jiabao just set his country’s growth target at a much more modest 7% annually for the years 2011 to 2015, according to China Daily.
This isn’t too far off the country’s growth target for the previous five years, which was at 7.5%, a number it easily beat.
But this growth target for 2011 to 2015 is well below world estimates, with the World Bank projecting 8.7% growth in 2011.
Jiabao says the goal of this cut in growth projections is to focus on personal happiness, lower commodity consumption, and the environment.
All of this reads as lets slow down the construction boom story, and start seeing the Chinese consumer start to spend on things other than homes.
That’s good news for those who have been piling into the Chinese consumer trade, but perhaps bad for those looking for the massive boom times to continue unabated.