bodyType

customContents

entityId

entityUuid

articlePageQuery

filter

article

articleBaseAdvertisingInfoArticle

articleListArticle

articleSeoArticle

hooksArticleAcknowledgementGateOverlayArticle

hooksTrackPageViewArticle

hooksContentInterestArticle

articleLinkingDataContent

hooksAmpRedirectArticle

articleSchemaContent

liveArticle

advertZone

sentiment

contentLock

topics

types

sections

paywallTypes

createdDate

publishedDate

urlAlias

moreOnThisArticles

sponsorType

commentCount

authorLocations

authors

corrections

displaySlideShow

multimediaEmbed

printHeadline

seriesContainer

articleSpeeches

socialHeadline

headline

images

flag

firstTopic

glossary

flattenTypeIds

image

relatedLinks

relatedNewsletters

__typename

sponsor

pdfFiles

seriesReverseOrder

series

disableOffPlatformContent

published

updatedDate

summary

subHeadline

body

keywords

readingTime

customTimezone

liveContents

Andrew Mullen

China’s industrial giants saw their monthly profits grow for a fifth consecutive month in September, while remaining negative over the first nine months of the year.
In September, profits of large industrial firms increased 10.1 per cent compared with a year earlier, though this was lower than the increase of 19.1 per cent in August, according to data from the National Bureau of Statistics (NBS).
In the first nine months of the year, industrial profits at China’s biggest firms fell by 2.4 per cent year on year, with May, June, July, August and September representing the only months of growth in 2020.
In September alone, profits stood at 612.81 billion yuan (US$91.4 billion).
Latest data about world’s second largest economy
China’s overall economy has continued its recovery from the impact of the coronavirus, with growth in the third quarter accelerating to 4.9 per cent.
“Despite weaker industrial profit growth in September, we believe China’s recovery is still largely on track and maintain our real [gross domestic product] growth forecast of 5.7 per cent year on year for quarter four, up from 4.9 per cent in quarter three. We believe Beijing will neither ease further nor start to tighten in the near term,” said analysts from Nomura.
In the first nine months of the year, 21 of the 41 industrial sectors saw profits rise year on year, more than the 16 during the January-August period.
In the third quarter of the year, profits in the equipment manufacturing industry increased by 22.5 per cent, while the NBS said profits in the auto industry, general equipment and special equipment sectors all increased by more than 20 per cent, without disclosing the exact figures.
The foundation for continued improvement in industrial profit still need to consolidate
Zhu Hong
Total profits within the manufacturing sector grew 1.1 per cent in the first nine months, reversing the decline of 1.0 per cent in the first eight months of the year. Profits within the computer, communications and other electronic equipment manufacturing industry increased by 15.5 per cent.
But profits within the mining sector dropped by 37.2 per cent from a year earlier, which included profits involving mining professional and auxiliary activities falling by 130.1 per cent, a deeper loss compared with a contraction of 122.4 per cent in the first eight months of the year.
“Although the profits of industrial enterprises continued to recover steadily in the first three quarters, the accumulative operating income and profits [in the first nine months] have not returned to growth, while the increase rates of accounts receivable and finished goods inventory were still high, meaning the foundation for continued improvement in industrial profit still needs to consolidate,” said Zhu Hong, a senior statistician at the NBS.


Brussels ramps up China de-risking while France and Germany pull further apart

Mexico’s tariffs on China aim to placate US – but could backfire: analysts

China may tap Nvidia’s H200 for AI gains but domestic chip strategy here to stay: analysts

China sets sights on ‘fully tapping’ domestic market potential after tone-setting meet

China economy

How did China’s industrial giants perform in September?

In the first nine months of the year, industrial profits at China’s biggest firms fell by 2.4 per cent year on year, with May, June, July, August and September representing the only months of growth in 2020. Photo: EPA-EFE

In the first nine months of the year, industrial profits at China’s biggest firms fell by 2.4 per cent year on year, with May, June, July, August and September representing the only months of growth in 2020. Photo: Xinhua

What will China’s next GDP target be?

Studies predict growth will remain robust in the next few years. Photo: Xinhua

China lifts import ban on scrap metals as coronavirus recovery heaps pressure on domestic metal supply

China’s Ministry of Ecology and Environment has relaxed import restrictions on high-grade copper, aluminium and brass scrap, allowing these products to be freely imported from November. Photo: Douglas Hook

China’s Ministry of Ecology and Environment has relaxed import restrictions on high-grade copper, aluminium and brass scrap, allowing these products to be freely imported from November. Photo: Reuters

US lodges appeal against WTO ruling in China’s favour over trade war tariffs

The United States has lodged an appeal against a World Trade Organization (WTO) ruling that some of President Donald Trump’s trade war tariffs on China were unlawful. Photo: AFP

China’s economic rebound shows upside to ‘stringent lockdowns, testing, tracking’, analysts say

As Western economies continue to veer in and out of partial lockdowns, China’s decisive control measures relatively early on in the pandemic have resulted in it being the only G20 economy expected to grow this year. Photo: AFP

China’s economy looks more balanced than it did in the first half of 2020, when factories pumped out supply even as consumer demand struggled to keep pace amid the coronavirus pandemic. Photo: Bloomberg

China GDP: economy grew by 4.9 per cent in third quarter of 2020

Retail sales are a key measurement of consumption in the world’s most populous nation. Photo: AFP

Economy

China Economy

Economic Indicators

News

China


Industrial profits at China’s biggest firms dropped by 2.4 per cent in first nine months, compared with the same period last year
In September, profits of large industrial firms increased 10.1 per cent compared with a year earlier



Industrial profits at China’s biggest firms dropped by 2.4 per cent in first nine months, compared with the same period last year.


China manufacturing

China GDP