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Number of loss-making firms in China surge amid demand slump

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While China is flooding world markets with cheap goods, a growing number of Chinese factories have started running into losses, with London-based research firm Capital Economics estimating that the share of Chinese industrial firms that are losing money has doubled since 2018 to 30 per cent this year. Losses are piling up at Chinese firms even as exports surge. Local governments regularly prop up unprofitable enterprises to preserve employment and meet economic targets, according to an article citing the research firm's findings on The Atlantic news website.

Profitability was never a top…

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Story file

Section
World
Topics
Economy & RBI, Jobs & careers
First reported by
Prokerala
Reporter
ians
Published
Friday, 23 October 2026, 6:20 pm IST
Coverage
One outlet so far

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