Fixed assets investment in China's petroleum and chemical industry rose by 36.3 percent in the first half with surplus production capacity emerging in some sectors, People’s Daily reported. Deputy Director with the China Petroleum and Chemical Industry Association (CPCIA) said that risks of surplus production capacity have emerged in some sectors including rubber, pesticide, fertilizer and fiber manufacturing. Although they had reached a basic balance of demand and supply, there was still a sharp rise of investment since the beginning of this year. Considering the current situation, Yang said it is difficult for the petroleum and chemical industry to realize the annual goal of cutting energy consumption by 4 percent.