Profit of China's Industrial Enterprises Drops 10.6% Year over Year

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Researched by Industrial Info Resources (Sugar Land, Texas)--From January through August 2009, the total profit of all Chinese enterprises with annual sales of more 5 million yuan ($730,000) reached $244.48 billion, a drop of 10.6% from the same period of the previous year, the National Bureau of Statistics of China announced on September 27.

Click on the image at right for a breakdown of the growth of the major industrial products of China in August 2009.

Among the industrial enterprises, the profits made by state-owned and state-controlled enterprises were $73.65 billion, a drop of 25.2% year over year. Collectively-owned enterprises had profits of $5.36 billion, an increase of 0.7%. Cooperative enterprises had profits of $132.06 billion, down 3.2%. Foreign-funded enterprises, including enterprises funded from Hong Kong, Macao and Taiwan, achieved $69.72 billion, a drop of 6.1%. Private enterprises had profits of $64.22 billion, an increase of 6.6% year over year.

Profits within different sectors had year-over-year gains or losses as follows:

• electric power industry rose 194%
• transportation equipment manufacturing industry was up 14.5%
• the manufacture of special purpose machinery rose 7.3%
• the chemical fiber industry increased profits 42.4%
• the building materials industry rose 16.3%
• profits of the oil and natural gas industry dropped 68.5%
• the iron and steel industry was down by 71.7%
• electronic communication equipment manufacturing dropped 25.3%
• smelting and pressing of nonferrous metals dropped 56.8%
• the coal mining industry dropped 11.8% year over year

From January to August, the payable value-added taxes of industrial enterprises with profits of more than 5 million yuan reached $138.58 billion, a drop of 1.8% year over year. The taxes and add-ons of the gross income of industrial enterprises reached $73.52 billion, up 36.6% year over year. The income of industrial enterprises reached $4.73 trillion, an increase of 1.6% year over year. Net income was $702.53 billion, a year-over-year increase of 9.2%; the total value of finished products reached $324.50 billion, a drop of 0.8%.

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