Staff members check products in process inside a welding workshop at the north China base of FAW-Volkswagen in north China's Tianjin, July 7, 2025.(Xinhua/Zhao Zishuo)

　　BEIJING, July 27 (Xinhua) -- Profits of China's major industrial firms saw a smaller decline in June 2025, with the manufacturing sector showing significant improvement, official data showed Sunday.

　　Industrial firms with an annual main business revenue of at least 20 million yuan (about 2.8 million U.S. dollars) saw their combined profits reach 3.44 trillion yuan during the January-June period, down 1.8 percent year on year, according to the National Bureau of Statistics (NBS).

　　In June, profits of China's major industrial firms slipped 4.3 percent year on year, 4.8 percentage points narrower than the decline seen in May. Notably, profits of major firms in the manufacturing sector reversed from a drop of 4.1 percent to grow by 1.4 percent in June.

　　The operating revenue of these firms increased by 1 percent year on year in June, maintaining the same growth rate as in May.

　　“This sustained revenue growth has created favorable conditions for the recovery of corporate profits,“ said NBS statistician Yu Weining.

　　Among the manufacturing sectors, equipment manufacturing saw rapid growth in profits last month. The automotive industry stood out in this regard -- achieving a profit surge of 96.8 percent in June, driven both by automakers' sales promotions and increased investment returns from major enterprises.

　　Profits in the electrical machinery, instrument manufacturing and metal products industries grew by 18.7 percent, 12.3 percent and 6.2 percent, respectively, in June, said Yu.