The combined profit of companies operating in China's industrial sector edged up by 3.6 percent in the first seven months of 2024, compared to the same period of the previous year, official data showed. 

According to a report by the National Bureau of Statistics (NBS), the country has been witnessing strong signs of continued recovery in the industrial sector, driven by robust market demand. 

To support the industrial sector in China, the government had rolled out several initiatives this year which include large-scale equipment upgrades and a consumer goods trade-in program. 

The Chinese government also introduced the issuance of ultra-long special treasury bonds to accelerate the growth of the sector. 

The data highlighted that the overall profit of companies operating in the industrial sector witnessed a rise of 4.1 percent in July alone, compared to the same month in the previous year. 

The profit gained by these companies also increased by 0.5 percentage points in July from June. 
High-tech manufacturing companies were the significant contributor to this positive trend, with profits growing 12.8 percent year on year in the first seven months. They contributed nearly 60 percent of the total industrial profit growth during this period. 

Battery Production Surges

According to the report, profits reaped by lithium-ion battery production firms surged by 45.6 percent year-on-year in the first seven months of this year, signifying China's role in the energy transition journey. 

Similarly, the profit of companies manufacturing semiconductor device rose by 16 percent during the same period, while firms producing smart consumer devices witnessed a profit rise of 9.2 percent. 
Yu Weining, a statistician at the NBS revealed that "the industrial sector had maintained a steady recovery, with stable production and improvements in high-quality development," as reported by Xinhua News Agency. 

He also urged for continuous measures to increase domestic demand and asked for implementing targeted measures to sustain the growth of the sector.