China’s manufacturing sector hits 4.7% growth in 9M 2025

Supportive policy measures helped reduce the financial burden on manufacturers.

China’s manufacturing sector reported a 4.7% year-on-year increase in sales revenue during the first three quarters of 2025, accounting for 29.8% of the nation’s total corporate sales, according to official data released October 15.

The State Taxation Administration (STA) attributed this positive performance to supportive policy measures, including tax and fee reductions. These initiatives have been instrumental in reducing the financial burden on manufacturers, thereby bolstering production and operational activities.

The STA highlighted that China is making significant strides in transforming its manufacturing sector to be more advanced, intelligent, and environmentally friendly, thereby contributing substantially to economic growth.

The equipment manufacturing sector experienced a 9% year-on-year growth, representing 46.9% of total manufacturing sales revenue. Strategic sectors such as aircraft, high-speed trains, and deep-sea petroleum drilling equipment saw notable increases in sales revenue: 12.5%, 16.1%, and 20.8%, respectively. 

Investment in digital technologies by manufacturing enterprises rose by 10.6% year-on-year. Notably, smart equipment manufacturing, including robotics and drones, grew by 23.6%. The share of energy-intensive manufacturing revenue declined to 28.9% of total manufacturing revenue, a decrease of 1.4 percentage points compared to the same period last year. 

Concurrently, procurement of energy-saving and environmental protection services surged by 34%, reflecting a strong commitment to sustainable practices.

From January to August 2025, the Chinese government implemented tax cuts, fee reductions, and rebates amounting to 1.29 trillion yuan (approximately £182 billion) for the manufacturing sector.
Chen Binkai, Vice President of the Central University of Finance and Economics, commented that these fiscal measures have effectively alleviated the financial pressures on manufacturers, thereby supporting their production and operations and promoting high-quality economic and social development.
The continued growth and transformation of China’s manufacturing sector underscore the nation’s commitment to advancing its industrial capabilities while fostering sustainable economic development..