China’s industrial production expanded by 5.4% year-on-year (yoy) in November 2024, slightly surpassing market expectations and improving on October’s 5.3% growth rate. This positive trend highlights the resilience of the Chinese manufacturing sector, which played a key role in driving the overall performance. The latest figures show a steady recovery in the world’s second-largest economy, even amid global economic uncertainties.

Manufacturing Leads the Growth

The manufacturing sector experienced robust growth of 6.0% in November, up from 5.4% in October. Among the 41 major manufacturing sectors, 34 recorded increases. Notable performers included computer and communication equipment production, which surged by 9.3%, and chemical manufacturing, up by 9.5%. The automotive sector also stood out, achieving a remarkable 12% growth, signaling strong domestic and international demand. Other key sectors such as general equipment manufacturing (4.4%) and railway, ship, and aviation equipment (7.9%) also contributed significantly to the overall expansion.

Mixed Performance in Energy and Mining

While manufacturing thrived, other sectors saw slower growth. The electricity, heat, gas, and water production and supply segment expanded by just 1.6%, a sharp decline from October’s 5.4%. The mining sector also experienced modest growth, rising by 4.2%, down from 4.6% the previous month. Key subsectors such as coal mining and washing grew by 3.7%, while oil and natural gas production rose by 5.3%. However, output for non-metallic mineral products contracted by 2.3%, reflecting uneven recovery patterns across industries.

A Promising Outlook for 2024

Cumulatively, China’s industrial output grew by 5.8% during the first eleven months of 2024, underscoring steady progress throughout the year. On a monthly basis, industrial output rose by 0.46% in November, up from 0.41% in October, signaling acceleration in short-term growth. These figures suggest a promising end to the year for China’s industrial sector, driven by innovation and resilience in key industries, while highlighting areas that may require further policy support to sustain balanced growth.