Chinese business as a result of rising commodity prices
According to the official data agency, high commodity prices are putting pressure on Chinese businesses, although large sectors of the country’s industry have recovered from the initial effects of the coronavirus pandemic.
According to data released by the National Statistics Office on Thursday, a 57 per cent rise in profits of large industrial companies in April was a year earlier than the pandemic that benefited the sector’s low-base comparison in 2020. Earnings rose 92 percent in March.
The data show that there has been an “irregular” improvement in business performance in China, the NBS said, despite the broad economy recovery in the last year. Higher commodity prices have boosted profits for miners and other producers, but it also appears to increase costs for businesses down the river along the supply chain, the NBS added.