CHINA's industrial profits rose for a second straight month in April, with their growth improving despite US tariffs and persistent deflationary pressures, thanks to Beijing's measures aimed at supporting businesses.
Cumulative profits at major industrial firms climbed 3 per cent last month compared to a year earlier, official data showed, accelerating from a 2.6 per cent growth in March, reports CNBC.
In the first four months this year, industrial profits rose 1.4 per cent, year on year, according to the National Bureau of Statistics, bolstered by stronger earnings in the equipment and high-tech manufacturing sectors.
Earlier this month, Washington and Beijing agreed to lower most of those levies, following a trade truce struck during a meeting between the Trump administration and Chinese leadership in Geneva, Switzerland.
The profit growth in April was stronger than expected, said Lynn Song, chief economist for Greater China at ING, noting the 'encouraging' sign that the manufacturing firms saw improved bottom-lines despite the 'more challenging external environment.'
The boost in industrial firms' profits was largely owed to Beijing's efforts targeted at supporting the private sector, offsetting some of the negative impacts from the US tariffs.
'These trends underscore the effectiveness of various policy interventions in mitigating arrears owed to private enterprises and ensuring timely payments to small and medium-sized business,' said Bruce Pang, adjunct associate professor at CUHK Business School.
Profits in the high-tech manufacturing industry from January to April climbed 9 per cent from a year earlier, with notable improvement in the biopharmaceutical products and aircraft manufacturing.
Supported by a scheme that subsidises consumers who trade in old electronics and appliances, the household appliances manufacturers also saw profits improve over 15 per cent from a year ago, data showed.
Profits in the mining sector fell 26.8 per cent year on year in the January to April period, while the manufacturing and utilities sectors - electricity, heating, gas and water supply - saw them rise 8.6 per cent and 4.4 per cent, respectively.
State-owned industrial firms saw their profit decline 4.4 per cent in the January to April period compared to the same period a year ago. Private enterprises and those with foreign investments saw profits improve 4.3 per cent and 2.5 per cent, respectively.
SeaNews Turkey
Cumulative profits at major industrial firms climbed 3 per cent last month compared to a year earlier, official data showed, accelerating from a 2.6 per cent growth in March, reports CNBC.
In the first four months this year, industrial profits rose 1.4 per cent, year on year, according to the National Bureau of Statistics, bolstered by stronger earnings in the equipment and high-tech manufacturing sectors.
Earlier this month, Washington and Beijing agreed to lower most of those levies, following a trade truce struck during a meeting between the Trump administration and Chinese leadership in Geneva, Switzerland.
The profit growth in April was stronger than expected, said Lynn Song, chief economist for Greater China at ING, noting the 'encouraging' sign that the manufacturing firms saw improved bottom-lines despite the 'more challenging external environment.'
The boost in industrial firms' profits was largely owed to Beijing's efforts targeted at supporting the private sector, offsetting some of the negative impacts from the US tariffs.
'These trends underscore the effectiveness of various policy interventions in mitigating arrears owed to private enterprises and ensuring timely payments to small and medium-sized business,' said Bruce Pang, adjunct associate professor at CUHK Business School.
Profits in the high-tech manufacturing industry from January to April climbed 9 per cent from a year earlier, with notable improvement in the biopharmaceutical products and aircraft manufacturing.
Supported by a scheme that subsidises consumers who trade in old electronics and appliances, the household appliances manufacturers also saw profits improve over 15 per cent from a year ago, data showed.
Profits in the mining sector fell 26.8 per cent year on year in the January to April period, while the manufacturing and utilities sectors - electricity, heating, gas and water supply - saw them rise 8.6 per cent and 4.4 per cent, respectively.
State-owned industrial firms saw their profit decline 4.4 per cent in the January to April period compared to the same period a year ago. Private enterprises and those with foreign investments saw profits improve 4.3 per cent and 2.5 per cent, respectively.
SeaNews Turkey
