(Yicai) Oct. 20 -- Investment in China’s manufacturing sector expanded at a respectable 6.2 percent clip in the first three quarters from the same period last year and is likely to continue to expand in the fourth quarter as the economy rebounds, experts said.

The economic recovery, slower decline in profits, an uptick in overseas demand, substantial support for upgrading, as well as big jumps in medium- and long-term loans all will help the sector attract investment, said Wang Qing, chief macro analyst with Golden Credit Rating International.

The manufacturing sector has become the major driving force for investment growth, while investment in infrastructure has slowed down, said Su Jian, director of the Center for National Economic Research, Peking University.

And investment in high-tech industries is growing particularly fast, surging 11.4 percent in the nine months ended Sept. 30 from a year ago, according to data from the National Bureau of Statistics.

Investment in high-tech manufacturing and high-tech services advanced 11.3 percent and 11.8 percent, respectively, the NBS said. And investment in aviation, spacecraft and medical equipment all logged high growth, it added.

Lifting all restrictions on foreign investment in China’s manufacturing sector is conducive to attracting more foreign investment and help factories upgrade, said Gao Ruidong, chief economist at Everbright Securities.

Overseas companies are very upbeat about investing in China, and the huge room for growth in the country’s manufacturing sector will create sustained profit for these firms, said Yao Jun, deputy head of the planning department at the Ministry of Industry and Information Technology.

Foreign direct investment in the country’s high-tech manufacturing soared 28.8 percent in the first half from a year earlier.

China’s fixed assets investment climbed 3.1 percent in the first nine months year on year to CNY37.5 trillion (USD5.1 trillion) but investment in real estate development slumped 9.1 percent to CNY8.7 trillion, according to NBS statistics released on Oct. 18.

Editor: Kim Taylor