China's state-owned enterprises (SOEs) reported 753.5 billion
yuan (100.4 US dollars) in profits in the first half, up 31.5
percent from the same period last year, according to the Ministry
of Finance.
A preliminary calculation by the ministry showed central SOEs
reported total profits of 541.8 billion yuan in the first six
months, up 20.2 percent and profits of local SOEs rose 36.5 percent
to 211.7 billion yuan.
Sales revenue of the country's SOEs totaled 8.4 trillion
yuan.
A ministry official said improved efficiency and stability
boosted SOE growth in the first half, supported by macro-economic
control policies.
Profits of major industrial sectors including steel,
petrochemicals, machinery, chemicals, and electricity rose by more
than 50 percent, with that of steel up by 116 percent.
Profits of state-owned coal mines went up 28 percent and
state-owned auto manufacturers surged 46 percent.
However, the petroleum sector witnessed an income loss of 10.7
percent compared with the same period last year.
Profits of SOEs in central China rose by 58 percent and in
western regions by 39 percent, outpacing eastern regions, which
stood at 30 percent.
Meanwhile, the official said production costs rose too fast and
some industries faced severe overcapacity, which would pose
obstacles for profit growth.
(Xinhua News Agency July 27, 2007)
