"Cut and Grow": Strong Results in Q1

The first quarter shows great progress. The government has pushed for better industry structures. The raw materials sector has started the year well. The industry is becoming stronger and more efficient. We can see this from three aspects.

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1. Steady Production Scale

The industry is stable. In the first quarter, the value added by the raw materials industry grew by 4.6%.

l  The petrochemical sector grew by 7.4%.

l  The non-ferrous metals sector grew by 2.6%.

Production of key products is up. Output of ten common metals rose by 3.6%. Production of ethylene, fertilizers, and refined copper grew by over 5%.  In the first two months, profits for large companies jumped by 45.6%.

2. Optimized Structure

The industry structure is improving.

l  Steel: The focus is on quality, not just quantity. Even though total steel output dropped slightly, the industry's value still grew by 2.5%. This means each ton of steel creates more value. The "backbone" of manufacturing is getting tougher.

l  Building Materials: This sector shows a "cut and grow" trend. The cement industry is "slimming down." It cut nearly 30 million tons of capacity. At the same time, the green building materials sector is growing. Sales are up, and the number of certified green products increased by 5%. This proves the industry is upgrading.

3. Rising Innovation

New innovations are appearing fast. China has launched a new, super-strong carbon fiber product (T1200 grade). It will be used in aerospace, low-altitude economy, and robots. Companies are also working on key chemical technologies. High-end building materials like PEEK and medical-grade plastics are developing quickly. The industry is becoming more dynamic.

Future Plans

What comes next? The Ministry of Industry and Information Technology will follow the "15th Five-Year Plan." They will focus on two things:

l  Strengthening the basics: Upgrading traditional industries and making them greener and safer.

l  Growing the new: Boosting innovation and developing advanced materials.

This will provide solid support for China's industrial modernization.