Large rolls of sheet aluminium. Photo: iStock

Net profits of China’s centrally-administered state-owned enterprises (SOEs) expanded 2.1% year-on-year in 2020 to 1.4 trillion yuan (US$215.77 billion), with about 80% of central SOEs reporting rising profits, official data showed Tuesday.

China’s 97 central SOEs raked in 30.3 trillion yuan in combined revenues last year, down 2.2% year-on-year, Peng Huagang, spokesperson for the State-owned Assets Supervision and Administration Commission (SASAC) of the State Council, told a press conference.

In December, central SOEs saw their revenues up for the fifth straight month to 3.7 trillion yuan, an 11.7% expansion from a year ago.

The fixed-asset investment of central SOEs, excluding property investment, rose 1.9% year-on-year to 2.8 trillion yuan in 2020 despite the adverse impact of Covid-19, according to the SASAC. 

Shipbuilding industry

China’s shipbuilding industry saw increased output in 2020 while maintaining a world-leading position in terms of completion volume and new and holding orders, according to the Ministry of Industry and Information Technology (MIIT). 

China’s completion volume of ships rose 4.9% to 38.53 million deadweight tonnes (dwt) in 2020 from a year ago, accounting for 43.1% of the world’s total, MIIT data showed. New shipbuilding orders decreased 0.5% to 28.93 million dwt, taking up 48.8% of the market share worldwide. 

Holding order volumes fell 12.9% to 71.11 million dwt at the end of 2020 from a year earlier, accounting for 44.7% of the global market share. 

Last year, five shipbuilding companies in China ranked in the world’s top 10 in shipbuilding completion, while six were among the 10 firms worldwide with the largest new shipbuilding volume orders.

Market liquidity

The People’s Bank of China (PBoC), the country’s central bank, injected liquidity into the banking system through open market operations on Tuesday.

The PBoC injected 80 billion yuan into the market through seven-day reverse repos at an interest rate of 2.2 %. With 5 billion yuan of reverse repos maturing on the same day, this led to a net liquidity injection of 75 billion yuan into the market.

A reverse repo is a process in which the central bank purchases securities from commercial banks through bidding, with an agreement to sell them back in the future.

Company news

SF Holding, China’s express delivery giant, said its express delivery revenue grew 30.77% to 14.74 billion yuan in December 2020 from a year ago. Its business volume increased by 48.97% to 870 million parcels for the same period.

The company’s supply chain business revenue came in at 868 million yuan, up 50.69%. 

Tesla, a Nasdaq-listed electric carmaker, started delivering made-in-China Model Ys on Monday. It is the second electric car that Tesla has produced and launched on the mainland, after it established a manufacturing plant in suburban Shanghai to churn out new-energy vehicles, a step that Tesla said marked a “brand new stage” for its development in China. 

The company said it strives to explore the Chinese mainland market with efforts including the launch of new models, after achieving success with Model 3 cars. It is also looking to build a supercharger factory in China. 

The stories were compiled by Nadeem Xu and KoKo and first published at ATimesCN.com.