Goldman Cuts China’s GDP Growth Forecast Amid Energy Constraints

Goldman Sachs Group Inc. economists lowered their forecast economic growth for China this year, saying recent sharp cuts to production in a range of high-energy-intensity industries add to significant downside pressures on the outlook.

“Considerable uncertainty remains with respect to the fourth quarter, with both upside and downside risks relating principally to the government’s approach to managing the Evergrande stresses, the strictness of environmental target enforcement and the degree of policy easing,” Goldman said in a research note Tuesday.