BEIJING: China’s property sales will slow in the fourth quarter but prices will remain stable, the housing minister said on Sunday, as more signs emerge that the country’s nearly two-year housing boom has peaked.
Property sales in China dropped for the first time in over two-and-half years in September, while housing starts slowed sharply as cooling measures started to bite, according to Reuters calculations based on official data on Thursday.
Real estate, which directly effects many other business sectors, is a crucial driver for China’s economy but also poses significant policy risks as the government tries to tamp down soaring prices while avoiding a crash and an ensuing blow to confidence and economic growth.
Wang Menghui, head of China’s housing ministry, told reporters at an briefing in Beijing that “the national growth rate of transitions for commercial housing will slow in the fourth quarter.”
The rapid rise of property prices has been contained and the government will keep measures consistent and not loosen control, Wang said, adding that the market was healthy and stable.
“We will firmly maintain our position that houses are for living in, not for speculation,” he said.
The remarks were made as part of a once-every-five-years congress of the ruling Communist Party, which opened on Wednesday and runs until next Tuesday.
At the congress, the party sets broad policy directions and reshuffles top leaders.
China will release September home price data on Monday.
The softening in property activity appeared to drag on broader growth in the third quarter, as many economists had predicted. China’s economy grew 6.8 percent in the third quarter from a year earlier, easing from 6.9 percent in the second quarter.
Further slowing is expected in coming months, but the head of the state planning agency said on Saturday that the economy is still on track to meet the official full-year growth target of around 6.5 percent.
China property sales will slow in fourth quarter, prices stable — housing minister
China property sales will slow in fourth quarter, prices stable — housing minister
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Aramco awards Italy’s Saipem a new $500m offshore contract
RIYADH: Italian oilfield services company Saipem has been awarded a $500 million offshore contract in Saudi Arabia under its existing long-term agreement with oil firm Aramco.
The contract covers the full engineering, procurement, construction, and installation of a 48-inch trunkline, extending around 65 km offshore and 12 km onshore. The work also includes related subsea facilities at the Safaniya Oil Field, which is among the largest offshore oil fields in the world, according to a statement.
This latest award further cements Saipem’s long-standing presence in the Kingdom and deepens its partnership with Aramco, as well supporting Saudi Arabia’s goal of increasing localization in the oil and gas sector from 40 percent to 75 percent by 2030.
The newly released statement said: “Offshore operations will be carried out by Saipem’s construction vessels currently deployed in the region, while fabrication activities will be executed at Saipem’s Saudi fabrication yard, Saipem Taqa Al-Rushaid Fabricators Co. Ltd., in Dammam, further helping to strengthen the company’s industrial footprint in the Kingdom.”
It added: “Project execution is expected to leverage Saipem’s proven experience in delivering strategic pipelines and offshore infrastructure in the region, combined with its advanced engineering capabilities.”
The statement further indicated that under the new contract, activities will be carried out in line with the highest safety, quality, and environmental standards that define Saipem’s operations, ensuring efficiency and reliability at every stage.
By combining strengthened local capabilities with advanced technical expertise, the project is set to support the effective development of key energy infrastructure in the Kingdom.
Saipem, which is listed on the Milan Stock Exchange, operates as a “one company” organized into several business lines, including asset-based services, drilling, energy carriers, offshore wind, and sustainable infrastructures.
The firm owns five fabrication yards, along with a fleet of 17 construction vessels and 12 drilling rigs, and is present in more than 50 countries.
