These industrial firms, with an annual main business revenue of at least 20 million yuan, saw their combined profits reach 4.58 trillion yuan.
Profit at industrial firms grew 11.2 percent in July from a year earlier, down from a 15.1 percent increase in June, while profit for the first seven months slowed to 17.6 percent from 18.7 percent in the first half.
Profits slowed as rising input costs squeezed margins, even as revenue growth remained broadly stable, said Xing Zhaopeng, a senior China strategist at ANZ, adding that higher raw material prices pressured midstream and downstream manufacturers.
Despite the slowdown, export-linked, high-tech and industrial sectors remained bright spots.
The computer, communication, and other electronic equipment manufacturing sector jumped 110 percent while the non-ferrous metal smelting, rolling processing sector leapt 91.8 percent, leading profit growth.
Notably, fibre optics, optical cable manufacturing, and communication system equipment manufacturing soared by 468.4 percent, 62.6 percent and 55 percent, respectively, during the period.
“The global environment remains complex and challenging, while the imbalance between strong supply and weak domestic demand remains a key constraint,” bureau statistician Yu Weining said.
The nation’s vice finance minister pledged this month to roll out additional fiscal support measures in a timely manner after economic indicators pointed to a loss of momentum at the start of the third quarter. (Xinhua/Reuters)
