Profits at China’s industrial companies returned to growth in April, highlighting Beijing’s efforts to boost manufacturing as other areas of the world’s second-largest economy struggle to regain momentum, reports the Financial Times. Industrial profits at businesses with more than RMB 20 million ($2.8 million) in turnover increased 4% year on year in April after a decline of 3.5% in March, according to the National Bureau of Statistics. So far this year, their profits are up 4.3%, unchanged compared with the rate in the first quarter after a large jump at the start of the year.
The improved April data follows a rise in Chinese exports in the same month after a push from Xi Jinping’s government to boost “high-quality development” in manufacturing, which prompted complaints from western leaders over perceived overcapacity.
The EU is carrying out a probe into state support for Chinese electric vehicle production, while US President Joe Biden this month introduced 100% tariffs on EV imports from China, where intense domestic competition has spurred a price war.