Chinese logistic enterprises show more vitality with government support

China's logistics infrastructure is constantly strengthening, and the micro-vitality and operating efficiency of logistics enterprises are also improving, thanks to a series of supportive policies and government investment, said an official.

China's logistics industry saw a continued upward trend in October, with the prosperity index reaching 52.6 percent, a 0.2-percentage point increase from the previous month, according to a report released by the China Federation of Logistics and Purchasing on Tuesday.

The data shows that in October, the price index of logistics services rebounded by 0.3 percentage points month on month, and the main business profit margin index rebounded by 0.1 percentage points month on month, marking an improvement in the profitability of logistics enterprises.

Among them, the railway transportation, water transportation, and postal express rebounded significantly. The data of small and micro enterprises (SMEs) improved more significantly than that of large and medium-sized enterprises, manifesting a positive development of SMEs.

In terms of investment, the fixed asset investment completion indexes of industries such as railway transportation, air transportation, pipeline transportation and postal express delivery all stayed at the expansion range of above 50 percent, reflecting the relatively strong investment demand in these industries.

"The government has recently continued to increase its investment in related fields, especially in the construction of logistics industry infrastructure, in particular some important logistics facilities such as logistics hubs, aviation and railways," said Liu Yuhang, director of the China Logistics Information Center.

Chinese logistic enterprises show more vitality with government support

The index tracking China's bulk commodity prices stood at 113.4 in October, up 3 percent month on month, according to data released by the China Federation of Logistics and Purchasing (CFLP) on Tuesday.

The prices of ferrous metals, non-ferrous metals, minerals, chemicals and energy all rose last month, indicating positive changes in the economy, higher demands in the market, and greater economic vitality in the country, said the CFLP.

Among the 50 key types of products monitored by the CFLP, 35 saw price increases on a monthly basis, with coke, cold rolled coil and hot rolled coil topping the list.

As the country continues to roll out incremental policies, market expectations have been significantly boosted, leading to increases in orders at steel plants and surges in domestic steel prices.

Data show that the prices of cold rolled coil and hot rolled coil rose by 13.3 percent and 12.4 percent month on month, respectively.

Experts expect the positive momentum to be sustained in the fourth quarter, as demands rebound, the bulk commodity market gains vitality, and the implementation of various policies speeds up.

"On the one hand, the existing policies are taking effects, which will be unleashed gradually. On the other hand, some incremental policies have been adopted, so I think they can generate continuous forces to boost the economy," said Wang Jingwen, director of the Macroeconomic Research Center of the Research Institute of China Minsheng Bank.

China's bulk commodity price index edges up 3 pct in Oct