China’s central state-owned enterprises (SOEs) stepped up research and development (R&D) investment in 2022 ahead of growth in revenue.
Figures recently released by China’s State Council indicate that in 2022 central SOE’s posted total operating revenue of 39.4 trillion yuan, an year-on-year (YoY) increase of 8.3% year-on-year.
Total profits were 2.55 trillion yuan and net profit were 1.9 trillion yuan, for YoY gains of of 5.5% and 5% respectively.
R&D investment increased 9.8% YoY, while the intensity of R&D investment also saw a YoY increase. Investment in strategic emerging industries by central SOEs remained at high levels, accounting for more than 20% of the total investment, for a further YoY increase.
Central SOE R&D investment for sectors including clean energy vehicles, communications, electronics and manufacturing all maintained double-digit growth rates in 2022.