China's industrial profits March 2024 fell 3.5% y/y, this slowed the gains made for the quarter compared to the first two months.
- In January - February industrial profits rose 10.2% y/y.
- But for Q1 as a whole, profits of China's industrial firms rose 4.3% to 1.5 trillion yuan.
This subdued result adds to the already lacklustre industrial production and retail sales data for March:
The picture in China is still of an economy suffering from weaker-than-desired domestic demand. The industrial profits data we had over the weekend will sap enthusiasm for capex in China.
Exports are a, relative, bright spot.
