China's industrial profits continued to grow at a solid double-digit pace in the first eight months of 2026, driven largely by the electronics sector, official figures showed Monday.
Profits of industrial firms above the designated size increased 15.7 percent year on year during the first eight months of 2026, according to National Bureau of Statistics (NBS) data.
The electronics sector provided the strongest boost, NBS data showed.
Profits in the sector more than doubled, rising 110 percent year on year and accounting for 62 percent of industrial firms' overall profit growth. It has become the main engine behind the rapid increase in industrial earnings.
New growth drivers, especially high-tech manufacturing, continued to gain momentum. Faster adoption of artificial intelligence and other new technologies expanded demand across related fields.
Chip demand fueled by new energy vehicles and the Internet of Things pushed profits in optoelectronic device manufacturing and semiconductor discrete device manufacturing up by more than 50 percent each.
The rapid expansion of computing power infrastructure also delivered impressive results. Profits in fiber-optic manufacturing related to computing power surged 5.3 times, while those in computer system manufacturing rose 3.9 times.
Chen Xi, a researcher at the Academy of Macroeconomic Research under the National Development and Reform Commission, said several factors supported the strong performance.
"Large-scale equipment upgrades have continued since the beginning of the year, and 'AI plus manufacturing' has empowered industrial intelligent transformation. Policy measures such as tax and fee cuts and financing support have helped companies reduce costs and improve efficiency. Together with China's complete industrial chains and its ability to respond quickly to market needs, both domestic and external demand have worked together to sustain industrial profit growth," Chen said.
Electronics drives double-digit rise in China’s 2026 industrial profits
