BEIJING, July 27 Reuters China39;s industrial profits extended this year39;s doubledigit pace of declines into a sixth month as waning demand took a toll on companies39; profit margins, bolstering the case for more supportive policy to help the economy.

The yeartodate 16.8 fall followed an 18.8 profit decline in JanuaryMay, and reinforced a frail economic recovery that brought weakerthanexpected 6.3 growth in the second quarter.

In June alone, industrial earnings shrank by 8.3 from a year earlier, according to data from the National Bureau of Statistics NBS on Thursday. Profits were down 12.6 in May.

Industrial profits have narrowed their yeartodate declines month by month, NBS statistician Sun Xiao said in an accompanying statement, adding efforts will focus on the central government39;s directives to implement macro policies in a scientific and precise manner to expand demand.

The struggles confronting Chinese manufacturers were typified by Maanshan Iron and Steel, a major steelmaker, which forecast in midJuly that it would swing to a net loss of 2.24 billion yuan 314.1 million for the first halfyear from a net profit of 1.43 billion yuan a year earlier.

Stateowned enterprises saw earnings tumble 21 in the first half, foreign firms posted a 12.8 decline and privatesector companies recorded a 13.5 fall, a breakdown of the data showed.

Profits dived for 29 of 41 major industrial sectors during the period, with the ferrous metal smelting and rolling processing…

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