The Chinese Dragon catching its breath

Analysts report that growth in China's manufacturing sector slowed in April,  adding to concerns about the country's economic recovery.

A drop in new export orders was blamed for the decline, a sign of weak global demand.

Last year, China's economy grew at its slowest pace in 13 years.

New export orders contracted after a temporary rebound in March, suggesting external demand for China's exporters remains weak.

Banks have cut their full-year growth forecasts for China after an unexpected slowdown in the first quarter.

Growth in gross domestic product for the first three months of the year declined to an annual rate of 7.7%, compared with 7.9% in the previous three months.

The World Bank, as well as private sector banks, said they expected growth to slow to 8% this year, though that is still high by global standards.

The government has said it will take steps to try to support the economy.

European markets are crucially important to China but with European economies in a fragile state the implication for export growth is obvious and the potential for the Euro debt crisis to spread would result in a further decline in export growth in the months ahead.