Policy vs. fundamentals: Outlook for China’s property market and related metals demand

China's property market has been impacted not only by sector-specific policies, but also other policies to remove industrial overcapacity and upgrade the country's manufacturing industry. While policy changes have brought volatility to the market, we still believe supply-demand fundamentals play an important role in the mid-to-long-term development of China's property market. In this insight, we provide an update to our Q3 2016 outlook for China's property market. In addition, we explain how metals consumption is related to different stages of the construction and building life cycles.