Brivv
China Industrial Profits Growth Slows to Seven-Month Low in July
MacroНовость4 мин чтенияИИ-ассистент

China Industrial Profits Growth Slows to Seven-Month Low in July

China's industrial profits rose 11.2% year-on-year in July, the weakest pace this year, as soft demand and a broader economic slowdown weighed on manufacturers.

28 августа 2026 г.Источник: cnbc.com ↗

China's industrial profits growth slowed to its weakest pace this year in July, expanding 11.2% from a year earlier, as soft demand and a broader economic slowdown weighed on manufacturers.

For the first seven months of the year, profits climbed 17.6% from a year earlier, according to National Bureau of Statistics data released Thursday, losing momentum after 18.7% growth in the first half of the year.

Industrial corporate profitability has still seen a notable turnaround, swinging from barely positive growth last year to double-digit gains this year, largely helped by a global artificial intelligence boom that fueled demand for computing and electronics equipment manufacturing.

Sector performance

  • The integrated circuit industry, led by computing and storage chip manufacturers, saw profits expand 18.5% in the January-July period from a year earlier, contributing over 80% of the profit gains across the electronics sector.
  • Optical fiber manufacturing profits rose more than fivefold, boosting overall gains in advanced manufacturing.
  • Raw materials manufacturers saw profits expand 55.2% as of end-July from a year earlier.
  • The petroleum processing industry turned a profit over the seven months as supply disruptions in the Middle East pushed up prices for lower-stream chemical products.
  • Furniture manufacturing's profit decline steepened to 58.2% for the first seven months, worse than the 52.7% recorded as of June.

"Decelerating growth was primarily dragged down by falling investment in property and infrastructure, evidenced by worsening profits in steel and cement industries," said Tianchen Xu, senior economist at Economist Intelligence Unit, adding that raw materials and the AI supply chain remained resilient while consumer-facing industries struggled.

China's producer prices in June grew at their fastest pace in almost four years after rebounding in March from a multi-year slump that began in October 2022, according to LSEG data. But factory-gate inflation slowed to a three-month low of 3.5% in July, as much of the price recovery was driven by surging global energy costs while domestic demand lagged.

Growth in the world's second-largest economy weakened in the second quarter to its slowest pace in more than three years. An activity tracker compiled by the Bank of America research team indicated a "broad-based loss of growth momentum" in July, with real exports growth slowing to 5.5% from 11.6% in June, and retail sales, port throughput and electricity production weakening further.

Economists expect Chinese authorities to step up targeted support to stabilize corporate profitability. Sophie Altermatt, economist at Julius Baer, said deployment of existing fiscal resources will likely accelerate in the coming months, with potential additional easing steps if growth continues to slow, which "should provide some near-term stabilisation and put a floor under growth." A "strong cyclical rebound" remains unlikely, she added, as the property market slump, sluggish household confidence and subdued private investment constrain the recovery.

Source: CNBC

Читайте Brivv в Telegram

Главные новости финтеха и крипто первыми — с кратким разбором, почему это важно.

Подписаться@brivv_com_ru

Похожие статьи

Экономика
Новость

Дефицит бюджета США в 2026 финансовом году приблизился к $2 трлн

Дефицит федерального бюджета США в 2026 финансовом году вырос на 12% и достиг почти $2 трлн, или около 6% ВВП.

17 октября 2026 г.1 мин чтения
Экономика
Новость

США предложили передать часть активов ЦБ РФ под контроль Вашингтона

США предложили Европе разморозить часть суверенных активов РФ и передать их под контроль Вашингтона для возобновления мирных переговоров.

15 октября 2026 г.1 мин чтения
ЦБ: аналитики сдвинули прогноз по инфляции в России на 2029 год
Экономика
Новость

ЦБ: аналитики сдвинули прогноз по инфляции в России на 2029 год

Консенсус-прогноз экономистов, опрошенных ЦБ, показал, что цель по инфляции в 4% будет достигнута не ранее 2029 года.

15 октября 2026 г.2 мин чтения
Экономика
Новость

Аналитики ЦБ ухудшили прогнозы по ставке, инфляции и курсу рубля

Опрос Банка России показал: аналитики повысили прогноз по инфляции в 2026 году до 7,1% и ждут ослабления рубля.

14 октября 2026 г.1 мин чтения