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Samsung voices concern over shrinking Chinese demand

Samsung has admitted to concerns over “worrying” weakness in Chinese consumer spending as customer sentiment, dampened by government austerity measures, turns against spending on technology products.

Kim Youngha, chief executive of Samsung Electronics China, said the overall market for technology goods in China will probably grow by only around seven per cent this year, down from 10 per cent in 2011. He pointed to disappointing sales of televisions during the “Golden Week” holiday at the beginning of May – traditionally a strong sales period – as evidence of lacklustre demand.

A Chinese slowdown would have grave implications for a global economy already hit by the eurozone crisis.

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