China's key industrial enterprises lost 36.7% of profits

The profit of key industrial enterprises of China has significantly settled in the first quarter of 2020 due to the epidemic of a new coronavirus in the country, despite a significant improvement in the situation in March, the National Bureau of Statistics of the People's Republic of China reported on April 27. Industrial enterprises arrived with annual turnover of more than 20 million yuan (about $2.83 million) reached 781.45 billion yuan in the first quarter of the year, 36.7% lower than the same period a year earlier. Still, that's slightly better 38.3% the fall in the first two months of the year. In particular, the profits of production and mining enterprises fell by 38.9% and 27.5%, respectively, during the period. At the same time, the production and supply of electricity, thermal energy, gas and water fell by 28.6% year-on-year. Industrial profits rose slightly in March as industrial product production and sales grew, bureau spokesman Zhang Weihua said, noting that it gave hope of a positive development. Profits of 39 of 41 industrial sectors fell in the first quarter relative to the same period a year earlier. In 28 sectors, the situation began to improve as early as March. Manufacturers of electronics, alcohol, drinks and tea stopped changing the 19.5% drop by 7.5% growth. Industrial enterprises in the field of high-tech production in March provided growth by 0.5% after 37.1% fall two months earlier. Companies in the field of production of consumer goods also recorded profit growth in March. The turnover of China's key industrial companies fell by 15.1% in the first quarter of the year to 19.86 trillion yuan. At the same time, business spending fell 14.6% to 16.83 trillion yuan year-on-year during the same period.