According to data released on Thursday, Chinese industrial profits declined far more than anticipated in the year to March

Industrial profits experienced their biggest decrease since mid-2020, at the height of the COVID pandemic.

This year, the sector has faced significant challenges due to weak domestic and international demand as well as deteriorating the economy conditions in China’s biggest markets.

However, the result fell just short of market expectations for the second consecutive month, falling short of estimates for increase of 4%.

Analysts are sceptical that this momentum will be sustained, especially given the challenges facing the manufacturing industry.