Latest News:  
Beijing   Sunny/Cloudy    5 / -5   City Forecast

People's Daily Online>>China Business

Industrial profit growth ebbs

By Chen Jia and He Wei (China Daily)

09:57, December 28, 2011

Rising costs and tight monetary policy squeeze manufacturers

BEIJING - Growth in China's industrial profits slowed in the first 11 months of this year, in what analysts said was a sign of deteriorating economic conditions that could push the government to do more to support business expansion.

The profits of industrial companies rose 24.4 percent year-on-year to 4.66 trillion yuan ($737 billion) in the January-to-November period, slowing from 25.3-percent growth in the first 10 months and a 27-percent increase in the first three quarters, the National Bureau of Statistics (NBS) announced on its website on Tuesday.

In November alone, total industrial profits climbed 17.9 percent year-on-year to 542.1 billion yuan, compared with an expansion of 12.5 percent in October, according to the NBS.

But State-owned companies' net income declined 14.2 percent last month to 102.4 billion yuan.

Surging production costs, tight monetary policy and shrinking overseas demand have squeezed industrial companies' profits, in line with the dimming global economic growth outlook and the European debt crisis, analysts said.

The slowing profit growth will exacerbate operating pressures on industrial companies and pressure the government to loosen policy, said Qu Hongbin, chief China economist and co-head of Asian Economic Research at HSBC Group.

【1】 【2】


Leave your comment0 comments

  1. Name


Selections for you

  1. American aircraft carrier USS Carl Vinson visits Hong Kong

  2. Pileup occurs in China's Guiyang, leaving two dead, 18 injured

  3. Ice fishing festival held in Zhenlai County, NE China's Jilin

  4. 2nd China Sculpture Exhibition kicks off in Wenzhou

Most Popular


  1. What is behind US 'Return-to-Asia' strategy?
  2. China's GDP growth may slow to 8 pct in 2012
  3. China's economy not to suffer a hard landing
  4. Common interests prevent 'Cold War'
  5. War-related carbon emissions deserves attention
  6. Noda's trip enhances China-Japan mutual trust
  7. Economic outlook for next year could be dimmer
  8. Human library promotes understanding
  9. For amiable China-Japan ties
  10. Europe should make greater efforts to save itself

What's happening in China

Chinese palace lanterns made for Spring Festival

  1. Public schooling for migrant children brings light
  2. Stringent measures to protect Bohai Bay
  3. Chinglish finds takers beyond China
  4. China announces plan to boost services for elderly
  5. China punishes six publishing groups for violations

PD Online Data

  1. Traditional Mooncakes
  2. About Mooncakes
  3. History of Mooncakes
  4. Modern Mooncakes
  5. Legends of Mid-Autumn Festival