In August 2025, profits of industrial companies in China increased by 20.4%. This increase applies to industrial enterprises with an annual turnover of over 20 million yuan.

Following declines in May, June, and July, this rise turned the profitability for the first eight months positive, increasing by 0.9%. However, tariff negotiations between the US and China continue to create uncertainty.

The trade tensions that began with US President Donald Trump's announcement of additional tariffs have led to increased tariffs between the two countries, negatively impacting the performance of industrial companies.

China's industrial production rose by 5.2% in August. However, this increase recorded a lower momentum compared to previous months.

The increase in consumption and investments also slowed down. Despite various incentive policies implemented by the Chinese government to stimulate domestic demand, their effects remain limited.

As a result, the Chinese economy is struggling to cope with global competition and domestic demand issues. It is important to follow the developments closely.