China’s textile sector sees 7.2% increase in profits in 2023

INSIGHTS

  • Major textile enterprises in China witnessed increase in profits last year, reports maintained.
  • Notwithstanding this impressive growth in profit, the combined operating revenue of the major textile enterprises experienced marginal decline of 0.8 per cent from 2022.
  • Resurgence in exports at the end of 2023 suggests potential recovery for the industry.

China’s major textile enterprises witnessed a notable 7.2 per cent year-on-year increase in the total profits last year, official data has revealed.

As per the Ministry of Industry and Information Technology reports, these enterprises collectively generated profits reaching 180.2 billion yuan ($25.38 billion) during the period.

However, notwithstanding this impressive growth in profit, the combined operating revenue of these firms experienced a marginal decline of 0.8 per cent from 2022, settling at 4.70 trillion yuan, further added the reports.

In parallel, China’s textile and garment exports faced a decrease of 8.1 per cent in 2023, amounting to $293.6 billion compared to the previous year.

However, there was a positive turn in December 2023, as the data indicates a 2.6 per cent year-on-year increase in textile and apparel exports, reaching $25.3 billion.

This resurgence in exports at the end of the year suggests a potential recovery and renewed momentum for the industry as it navigates through challenging global economic dynamics.

Source: https://www.fibre2fashion.com/