China's industrial performance recovers despite dip in profits: NBS

29 Aug '22

2 min read

Pic: Shutterstock/ ZDL

China’s industrial activity levels have stayed on their path to recovery in spite of profits falling a bit due to several reasons, according to the country’s National Bureau of Statistics (NBS). Industrial business firms, which had an annual business revenue of a minimum of 20 million yuan or around $2.92 million, had their profits down by 1.1 per cent year-on-year from January to July 2022, touching 4.89 trillion yuan.

However, the collective earnings of the industrial firms went up by 8.8 per cent year-on-year to 76.57 trillion yuan. It was found that 16 out of 41 major industries witnessed a rise in profits in the first seven months of 2022 and 14 of them declared growth of more than 5 per cent. The profits of the equipment manufacturing industry grew by 6.8 per cent year-on-year in July 2022, which is 2.7 percentage points higher than the growth reported in June 2022.

“As China took stronger steps to ensure the energy supply, the expansion of the coal and crude oil output, as well as energy production, has driven up the profit growth of related industries,” NBS senior statistician Zhu Hong was quoted as saying by Chinese media reports. The country’s coal mining sector showed that profits during the January-July 2022 period went up 1.05 times when compared to the corresponding period from the previous year, which added to the 10.3-percentage-point growth of the gains of big industrial firms.

Zhu also emphasised upon ensuring the efficient management of production and supply chains, developing favourable investments, enhancing consumer demand, and bolstering support for enterprises, to instil more positive conditions for the recovery of China’s industrial economy.

Fibre2Fashion News Desk (NB)

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