High-tech Manufacturing Profits Rose 36.5% Year-on-year in July, Driving Industrial Profits Above All Sizes by 5.2 Percentage Points

On August 27, the National Bureau of Statistics released data showing that industrial enterprises above the scale achieved total profits of 589.51 billion yuan in July, up 19.6% yoY and 8.1 percentage points faster than in June. Zhu Hong, a senior statistician at the Industrial Division of the National Bureau of Statistics, said profits from high-tech manufacturing had risen sharply. In July, high-tech manufacturing profits grew 36.5 percent year-on-year, 27.5 percentage points faster than in June, driving industrial profits above all sizes by 5.2 percentage points.

At the same time, the growth of equipment manufacturing profits accelerated, automotive, electronics and other key industries to pull the role is particularly prominent. Under the influence of many factors, such as switching environmental standards, stimulating infrastructure investment and increasing home appliance exports, the production and sales of automobile, electronics and other equipment manufacturing industry accelerated simultaneously, and profit growth continued to accelerate on the basis of the rapid growth in June.

In July, equipment manufacturing profits rose 44.3 percent year-on-year, 30.0 percentage points faster than in June. Among them, the automotive industry benefited from a rebound in sales and increased investment income, with profit growth rising sharply to 125.5 percent from 16.9 percent in June; According to preliminary estimates, the equipment manufacturing industry boosted the profits of industrial enterprises above all sizes by 13.8 percentage points.

In addition, the sharp increase in investment income also contributed to the acceleration of profit growth in July.