The metalworking industry in China continues on its five-year growth spurt chiefly led by the boom in the construction and manufacturing sectors. As demand rises, industry revenues are projected to climb at an annualised rate of 6.6% through 2024, with an expected 5.1% growth this year alone. These numbers indicate that the sector remains healthy even when faced by raw material price fluctuations and labour costs. The positive outlook continues, as government support and technological advances lay the foundation for sustained growth in the coming years. China’s metalworking enterprises are increasingly diversified, moving beyond metal fabrication and also across building construction and infrastructure projects such as bridges, tunnels, and subway systems. This diversification helps businesses manage risks, reduce costs, and boost revenue by leveraging a broad client base. As industry profit margins remain steady at 4.8% in 2024, larger companies with established economies of scale and direct access to raw material sources enjoy stronger profitability. Smaller enterprises, however, feel the pressure from rising costs, with some turning to mergers or collaborations to stay competitive. The government has played a critical role in shaping China’s metalworking industry’s trajectory, implementing policies like the “Action Plan for Carbon Peak by 2030” and the “Long-term Goals for 2035.” These initiatives promote sustainable growth, with a particular focus on carbon reduction and technological innovation. As a result, metalworking in China is expected to grow at an annualised rate of 5.9% through 2029, with sustainability initiatives pushing companies toward cleaner, more efficient manufacturing practices. Despite overall growth, the industry hasn’t been immune to the impact of COVID-19, with repeated outbreaks and lockdowns stalling manufacturing activities and disrupting supply chains. Economic uncertainties have also led to reduced demand from downstream industries. While demand is recovering, businesses are encouraged to build stronger supply chain networks and enhance digital capabilities.