China's Industrial Companies' Profitability Fell by 13% in November.

Profit Decline in China's Industrial Sector

The profits of industrial companies in China continue to decline in November despite ongoing trade disputes with the USA and economic issues.

November 2025 Figures

According to data from the National Bureau of Statistics (NBS), the total profit of industrial enterprises with an annual revenue of over 20 million yuan (approximately 2.85 million dollars) fell by 13.1% compared to the same period last year in November 2025.

Performance in the First 11 Months of the Year

During the first 11 months of the year, overall profitability recorded a 0.1% increase, falling short of the 1.9% increase from the previous 10 months. The profits of industrial companies increased by 1.4% compared to the previous year in the first 4 months. However, following declines in May, June, and July, there was an overall decrease of 1.7%.

Trade Tensions with the USA and Impacts

The increasing trade tensions with rising tariffs between the USA and China negatively affected companies' annual performance. Although there was a 20.4% increase in August, and a 21.6% increase in September, a 5.5% decline occurred in October.

Recent Developments and Future Outlook

China's imposition of limits on the export of rare earth elements, a vital part of the global supply chain, in October further escalated these tensions. After negotiations throughout the year, both parties reached a temporary agreement on October 30 in Busan, South Korea. However, resolutions to critical disputes in bilateral trade have been postponed for a year in recent months.