China's industrial sector is showing resilience and growth, as profits continue to climb despite facing significant challenges. Official data released by the National Bureau of Statistics (NBS) this Friday revealed that major industrial companies in the country saw their profits increase by 0.5 percent year on year, reaching a total of 4.65 trillion yuan ($652.95 billion) in the first eight months of 2023.
The report highlights that gross profits, which account for business costs deducted from operating revenue, rose by 1.2 percent compared to the same period last year. This upward trend spans across the majority of China's industrial sectors, with 29 out of 41 tracked sectors reporting profit growth, representing over 70 percent of the industries monitored.
A standout performer in this growth is the high-tech manufacturing sector. Profits in this area surged by an impressive 10.9 percent compared to the previous year, significantly outpacing the overall industrial average by 10.4 percentage points. This robust performance from high-tech manufacturing has contributed 1.8 percentage points to the overall industrial profit growth.
Yu Weining, a statistician from the Department of Industry at the NBS, emphasized the critical role of high-tech manufacturing in sustaining China's high-quality industrial development. \"The sustained rapid growth in high-tech manufacturing underscores its robust role in supporting the ongoing high-quality development of China's industrial economy, despite the high baseline set in August and the broader challenges faced by the economy,\" Yu stated.
These positive trends come despite hurdles such as insufficient market demand and extreme weather conditions, including high temperatures and severe flooding, which have posed significant challenges to many industries.
Reference(s):
China's industrial profits rise with high-tech leading growth
cgtn.com
