China continues strong demand

摘要

We reported in the March issue that China once again appeared poised for strong growth in 2012; first quarter trade statistics have confirmed that outlook. Based on annual results delivered in April, combined capex for China's three main carriers (Mobile, Unicom and Telecom) will increase by 15% to US$45.3 billion in 2012 from 2011 capex of US$39.4 billion. Although capex does not directly correlate to fibre spending, it is useful as an indication of overall spending and a commitment to further network expansion.