MNI China Press Digest March 28: Profits, Excavators, MOFCOM

Highlights from Chinese press reports on Friday:

• China’s industrial profits fell 0.3% y/y during January and February, improving from the 3.3% decline for the whole of 2024, Securities Daily reported. Mining industry profits declined 25.2% y/y, while manufacturing and the electricity, heat, gas and water sector rose 4.8% and 13.5% y/y. Yu Weining, a statistician at the National Bureau of Statistics, said the decline in profits narrowed and the efficiency of firms recovered stably. CITIC Securities said weak prices are restricting the recovery of corporate profits.
• China's 51.4% y/y growth in domestic excavator sales during January and February reflects a shift toward more diverse applications, in contrast to prior cycles driven by the real-estate and infrastructure sectors, according to Zhou Ershuang, a researcher at Dongwu Securities. Robust demand from the Global South contributed to a 12.7% y/y increase in exports, reaching 7,630 units in February. Zhou also noted a narrowing of the decline in European and American markets. (Source: People’s Daily)
• The Ministry of Commerce will continue communicating with enterprises from various countries and guarantee a good service via roundtable meetings, said MOFCOM spokesperson He Yadong. China’s economic resilience, and high-level opening-up amid global uncertainty and efforts to improve the business environment will attract foreign investment, MOFCOM officials told global heads of more than 20 multinational companies in recent meetings. (Source: 21st Century Business Herald)