Singapore’s primary Chinese language newspaper Lianhe Zaobao recently reported that, according to the official data released by the Chinese National Bureau of Statistics, China’s industrial enterprises above a designated size achieved a total profit of RMB 7.6858 trillion yuan (around US$1.08 trillion) last year, a year-over-year decrease of 2.3 percent. This decrease reflects how lower prices and weak domestic and foreign demand have continued to weigh down profit growth for industrial companies. Among these industrial enterprises, there was a significant drop of 6.7 percent year-over-year in total profits for foreign-owned enterprises and Hong Kong, Macao and Taiwan-owned enterprises. The profits of state-controlled enterprises fell by 3.4 percent year-over-year. The profits of joint-stock enterprises fell by 1.2 percent year-over-year. The total profits of private enterprises had a growth of 2.0 percent year-over-year. However, many companies are nearing the end of an inventory destocking cycle.
Source: Lianhe Zaobao, January 27, 2024