China's industrial profits surge, but foreign firms are barely growing

China's largest industrial companies saw profits jump by 18.2% in the first four months of 2026. This growth was mostly driven by private companies, while foreign-invested firms saw almost no profit increase.

For years, foreign companies invested heavily in China's manufacturing boom. This data shows that the benefits of that boom are now concentrating in domestic private hands. It means foreign firms are increasingly operating in a market where their profit growth is minimal, even as the overall industrial economy expands.