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China's SMEs report steady recovery in H1

China

China

China

China's SMEs report steady recovery in H1

2024-08-14 22:40 Last Updated At:08-15 01:27

China's small and medium-sized enterprises (SMEs) reported steady recovery in the first half of 2024, with the total value added by SMEs with annual revenues over 2.8 million U.S. dollars rising by 7.4 percent year on year, according to the latest data from the Ministry of Industry and Information Technology.

From January to June, SMEs using specialized technologies to produce novel and unique products saw continuous growth. In particular, "little giant" firms, new elite SMEs specializing in niche markets with advanced technologies and strong potential, experienced a 9.3 percent increase in electricity consumption compared to the same period last year.

Out of the 31 major manufacturing sectors in China, 23 saw a rise in total profits for SMEs in the first six months of the year, with the proportion of growing sectors increasing by 6.5 percent compared to the first quarter, the ministry's data showed.

The equipment manufacturing and consumer goods manufacturing sectors saw profit growth of 5.0 percent and 11.4 percent from the same period last year, respectively, with growth rates accelerating in the second quarter compared to the first quarter.

In terms of exports, Chinese SMEs also show promising prospects, with the export index reaching 52.8 percent in the second quarter.

China's SMEs report steady recovery in H1

China's SMEs report steady recovery in H1

China's top regulators on Monday announced a series of detailed measures to further ease the burden on companies and step up support for small and medium-sized enterprises (SMEs).

The specific measures include addressing the practical difficulties troubling small and micro market entities in production and operation and will keep enhancing targeted and differentiated assistance to individually owned businesses, said Luo Wen, head of the State Administration for Market Regulation, at a press conference in Beijing on Monday.

And the government will strive to effectively alleviate the burden on enterprises and make more efforts to reduce institutional transaction costs, he said.

"We will vigorously advance the reform on one-stop government services, pushing the services for enterprises to shift from 'multiple places, multiple windows and multiple times' to 'one place, one window and one time.' We will make greater efforts to reduce the burden on enterprises and carry out special inspections and random checks on illegal charges levied on businesses with the focus on key charging bodies and key industry sectors," said Luo.

He said the financial supervision departments will strive to step up their efforts on support for the real economy to alleviate the financing difficulties of small and micro businesses.

Luo emphasized the need to tailor financial products and services for micro, small and medium-sized enterprises, and implement differentiated arrangements in terms of credit lines, interest rates, financing maturities, and repayment methods.

"We will promote the combined effect of equity, funds, bonds and other financing instruments, and realize an amount of 300 billion yuan (about 42.4 billion U.S. dollars) of credit enhancement and granting for quality financing each year, which will fully benefit all types of businesses," said Luo.

Top regulators release plans to support SMEs by streamlining services and boost financing

Top regulators release plans to support SMEs by streamlining services and boost financing

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