China industrial profits tumble 18% in April as demand sputters [Reuters]
Jones Lang LaSalle Incorporated (JLL)
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Source: Reuters
Profits fell 20.6% in January-April from a year earlier, compared with a 21.4% decline in the first three months, according to data from the National Bureau of Statistics (NBS). In April alone, industrial firms posted a 18.2% drop in profit year-on-year, according to the NBS, which only occasionally gives monthly figures. Profits shrank 19.2% in March. "Overall, today's data shows that industrial enterprises, especially private and equity-owned enterprises, continue to be affected by a combination of unfavourable factors such as the base effect, short-term pressure on the economic recovery and the downward trend of PPI (producer prices)," said Bruce Pang, chief economist at Jones Lang Lasalle. Chinese companies are struggling with both weak demand at home and softening demand in the country's major export markets. Producer deflation deepened in April, with the producer price index (PPI) falling at the fastest clip since May 2020. Lenovo, the world's largest PC maker, said t
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