China’s industrial profits jumped 21.6% in September, the highest since November 2023
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China posted a 21.6% jump in industrial profits for September, the biggest monthly gain since November 2023, driven by government efforts to suppress destructive price wars and stabilize factory income, according to data released Monday by the National Bureau of Statistics (NBS). The rebound followed August’s 20.4% growth, continuing a sharp recovery for a sector long battered by deflation and slowing global demand. In the first nine months of 2025, profits across major industrial companies rose 3.2%, picking up pace from the 0.9% gain between January and August. The pressure from low prices hasn’t vanished; consumer prices dropped 0.3% in September, and the producer price index sank 2.3%, deepening the country’s deflation stretch into a third year. Industrial profit growth spreads across sectors High-tech production pulled a lot of the weight. According to NBS chief statistician Yu Weining, profits from high-tech manufacturing jumped 26.8% in September alone. Meanwhile, the manufacturing sector overall grew 9.9% in profit terms over the nine-month period. Utilities (including electricity, heat, fuel, and water supply) added 10.3% in profit. But not everything moved in the same direction. The mining industry had a rough year. Its profits dropped 29.3%, underlining persistent weaknesses in commodity demand and pricing. Ownership structure also split the numbers. State-owned enterprises actually posted a 0.3% fall in profits. In contrast, foreign firms (including investments from Hong Kong, Macau, and Taiwan) saw their profits rise 4.9%. Privately-owned companies outperformed both, logging a 5.1% gain over the same nine-month stretch. The strong September data came as the Chinese government continues to roll out policies to limit brutal price-cutting among industrial players. That’s been especially important in a year when factory gate prices remain stuck in decline and global trade friction refuses to calm down. Trade hopes boost stocks, attention shifts to Trump-Xi summit Stock markets…
Filed under: News - @ October 27, 2025 7:29 am