 "China's July industrial profits grow despite sluggish domestic demand | World News")
China’s July bank loans recorded the first contraction in 19 years. (Photo: Reuters)
China’s industrial profits grew faster in July, data showed on Tuesday, even as sluggish domestic demand weighs on the recovery in the world’s second-largest economy.
Profits in July jumped 4.1 per cent from a year earlier following a 3.6 per cent rise in June, according to National Bureau of Statistics (NBS) data.
For the January-July period, profits expanded slightly faster at 3.6 per cent compared with 3.5 per cent in the first half, offering some hope of improving momentum amid dreary factory output, export, prices and banking lending numbers earlier in August.
Tamer shipments last month raised a red flag over the country’s export-driven recovery and heightened concerns about frail domestic demand.
China’s July bank loans recorded the first contraction in 19 years, central bank data showed earlier.
Electric vehicle battery giant CATL recorded faster profit growth in the second quarter, but its revenue fell at a faster clip during the quarter, as EV sales slow in the world’s largest auto market.
Amid lacklustre demand, a prolonged housing downturn and employment worries, Beijing is looking to pivot its stimulus toward consumption.
At a cabinet plenary session earlier this month, Premier Li Qiang vowed to boost the economy with a focus on consumption.
State-owned firms booked a 1 per cent rise in profits in the first seven months, foreign firms posted a 9.9 per cent gain, while private-sector companies saw profits up 7.3 per cent, NBS data showed.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
First Published: Aug 27 2024 | 8:31 AM IST
