Zhao Jinping, an economist at the State Council's Development Research Center, predicts that the country's trade outlook for next year might further darken as the economic washout continues to depress the consumer market in Western countries.

"China is less likely to sharpen the competitive edge of its exports by depreciating the yuan, a trigger of capital outflow and deteriorating trade friction and protectionism," he said. "A relatively stable foreign currency policy is best for the Chinese economy."

FDI-down 36.5 percent

China drew in $5.32 billion in foreign direct investment (FDI) in November, a decline of 36.5 percent year on year. FDI has fallen monthly since July, and October's FDI declined 2.02 percent from a year earlier, the first year-on-year drop this year.

In the same month, the country approved 2,216 new foreign-funded enterprises, posting a year-on-year drop of 38.3 percent.

Analysts say global investors, cash-strapped during the global credit crunch, have been dragging their feet in coming to China. Besides this, a souring business mood in the country also has dampened their confidence, according to the China Industrial Bank Co. Ltd.

The total FDI in the first 11 months of this year amounted to $86.4 billion, a year-on-year increase of 26.29 percent.

Property prices--up 0.2 percent

The property prices in 70 large and medium-sized cities grew a minimum 0.2 percent in November compared with the same month last year, down from a 1.6-percent growth rate in October.

Thirteen cities saw property prices fall last month, including Shenzhen, where prices dived a staggering 18 percent. Housing prices in Beijing grew 2.9 percent year on year, 2.3 percentage points lower than last month.

November was the fourth consecutive month that the country saw a decline in property price growth at the national level. The housing bust is widely believed to be a drain on the driving forces of the economy.

Siemens Fares Well

Siemens AG continued to tap into China this year with torrid sales growth and a healthy order book while its home market fell into recession.

The German electronics and manufacturing giant announced on December 4 that its sales and orders in China both grew a robust 19 percent for the fiscal year ending September 30.

Siemens, one of the top global giants investing in China, has been involved in everything from telecommunications infrastructure to railway transportation in recent years. It helped build the magnetic levitation train in Shanghai.

"The resilient Chinese economy has provided a floor under the global growth of the company that depends on the country to obtain 6 percent of its orders-mostly from power, industrial automation and medical systems in the last fiscal year," said Hao Ruiqiang, CEO of Siemens China, in a statement.

Hao added that the company was confident that it would maintain its spectacular growth here during the next year, even though its rivals such as General Electric Co. and Royal Philips Electronics NV have made downbeat comments on the bleak business environment.

In line with the Chinese Government's massive fiscal stimulus package, Siemens in the coming year will focus more on projects in rural markets, eco-environment improvement and industrial innovation solutions, Hao said.

Chery Gets a Loan

Chinese automaker Chery Automobile Co. Ltd. is fortunate to be backed by the Export-Import Bank of China, while its U.S. counterparts have struggled for a government bailout.

The auto manufacturer, based in Wuhu of Anhui, recently secured a 10-billion-yuan ($1.46 billion) loan from the policy bank to finance its overseas expansion and import technology and equipment.

The news came as the domestic auto market is showing signs of slackening sales under the pressure of the economic slowdown.

According to the latest data from the China Association of Automobile Manufacturers, car sales in November dropped more than 10 percent in China, the world's second largest auto market.

Chery has largely held up in the storm so far with the help of its buoyant domestic sales. But its overseas foray has encountered some setbacks. The company predicated its car exports this year may come in at 140,000 units, falling short of its 180,000-unit target.

Analysts said the loan would take some strains off the capital-hungry company, but may not be able to produce an immediate effect. Worries have been growing over the financial position of the company as its major products-low-cost small-capacity vehicles-bring slim profit margins.

Yin Tongyue, President of Chery, quashed speculation that the company would use the loan to take over some of the financially distressed U.S. automakers, stressing that the money would go to improving its product quality and facilitating its overseas expansion.

This is not the first time that the bank has extended a helping hand to Chery. In 2004, the bank lent 5 billion yuan ($728.9 million) to the company, pushing it into a prolonged boom.