China said today that its inflation rate eased in August, having hit its highest level in more than three years in July.
The National Bureau of Statistics (NBS) also said output from China's factories and workshops rose at an annual rate of 13.5% in August - slower than in July - amid concerns the economy is slowing while prices rise.
Authorities in the world's second-largest economy have been struggling to tame inflation, which they fear could cause more unrest after recent public protests as living costs spike for many millions.
Slightly easing concerns, the NBS said the consumer price index (CPI) - the main gauge of inflation - rose 6.2% in August, down from a more than three-year high of 6.5% in July.
The government has implemented a number of measures over the past year to try to slow inflation, including restricting the amount of money banks can lend and hiking interest rates five times since October.
Analysts said these policies appeared to have had an impact, but warned that inflation - while expected to drop - was still likely to remain high. The government had originally set a target of 4% for inflation in 2011, but China's Premier Wen Jiabao has reportedly admitted it will be difficult to keep CPI within that target.
Food accounts for more than one-third of the monthly spending of the average Chinese consumer. According to the NBS, year-on-year food price rises in August slowed to 13.4% from 14.8% the previous month.
Other data released today showed that retail sales, the main gauge of consumer spending, jumped 17% year-on-year in August while fixed asset investment, a measure of government spending on infrastructure, rose 25% in the first eight months of 2011 compared with a year earlier.
