industrial profits of China grow at fastest in eight months

The Chinese industrial production profits were observed to be at its fastest growth pace in eight months in November. However, low domestic demand remains to be a problem to be solved by the sector next year.

China’s profits in the industrial sector rose to 5.4% in November compared to its last year’s counterpart to 593.9 billion yuan ($84.93 billion) to end a three-month decline, the National Bureau of Statistics (NBS) released the data on Friday.

The growth was pushed by the quickening production and sales, according to the data analyst from NBS. However, the industry needs to remain wary as the rebound is not a clear indication of sustained recovery.

“Although the profit growth turned to positive in November, we have to see that the current downward pressure on the economy is still big, and the volatility and uncertainty of profit growth still exist due to multiple factors such as market demand and industrial prices,” said data analyst Zhu Hong.