CCTV.com - CNTV English - CCTV News


Homepage > News > Biz >

SOEs dominate Top 500 list

09-06-2010 10:32 BJT

State-owned companies dominated the latest list of China's Top 500 Companies, but their steps toward globalization fall far behind foreign companies, experts said at a two-day summit held in Hefei, Anhui Province over the weekend.

Total revenues of the top 500 companies increased by 6.28 percent to 27.6 trillion yuan ($4.06 trillion) last year, the lowest growth rate since 2002. There are 329 State-owned companies, earning more than 80 percent of the total revenue, said a report released by the China Enterprise Confederation (CEC) and the China Enterprise Directors Association Saturday.

SinoPec led the list with a revenue of 1.39 trillion yuan ($204.33 billion) in 2009, followed by the State Grid, China National Petroleum Corporation (CNPC) and China Mobile.

After the financial crisis, the top 500 reported shrinking overseas revenue of 2.5 trillion yuan ($367.55 billion) in 2009, down 3.42 percent year-on-year.

They have outperformed both the world's and the US's top 500 companies in profits. The average profit margin of China's top 500 companies was 5.44 percent in 2009, higher than that of 4.16 percent and 4 percent for those globally and in the US.

"Chinesecompanies used to just follow multinationals, but some have become chal-lengers," said Li Jianming, vice chairman of CEC. "In the engineering, iron &steel, and electric sectors, Chinese companies' business scales have surpassed their foreign counterparts, while in the retail, auto, telecommunications and banking sectors, they're also closing the gap."

However, experts said compared with foreign companies, Chinese firms are slow going abroad. "CNPC's overseas revenues accounted for less than 3 percent of its total revenue, but Shell's overseas revenues surpassed 70 percent," said Wang Zhile, researcher within the Ministry of Commerce.

"Chinese firms made much progress in acquiring overseas assets during the crisis, but most of them lack the ability to run a global business, due to problems with resource deployment, industrial layouts and international management," said Wang Bo, managing director of Accenture Great China.

Editor:Xiong Qu |Source: Global Times

Hot Videos view more

The celebrations are still continuing as the victorious coach, Joachim Loew, has been honored for his achievement in his hometown of Freiburg.
Germany coach Loew honored in hometown of Freiburg

Chinese men´s national team continued its preparations for next year´s Asian Cup, as they managed a one-all draw against visitors Jordan during a football friendly in Harbin, the capital city of Northeast China´s Heilongjiang Province.
China held to 1-1 draw by Jordan

The defending world champs came into the contest with a perfect 6-and-oh record, but they would be in for a tough first half before opening things up in the second.
USA beat Slovenia 119-76 in quarter-finals

Hot Stories more

UK authorities believe killer of James Foley is a British national

Across the UK the hunt is on for James Foley’s killer, who authorities believe is a British national. As Richard Bestic reports from London, Prime Minister David Cameron cut short his summer break to lead his government’s response.

Israeli war jets renews Gaza strike as truce talks stalled

Three Palestinians were killed and 40 others wounded in the intensive Israeli war jets´ airstrikes on the Gaza city on Tuesday night, shortly before an end of a 24-hour ceasefire in the Gaza Strip,

Missouri police arrest dozens after violent night

As the protests in the town of Ferguson, Missouri turned violent with police facing ´heavy gunfire´ from some ´criminal elements´, cops fired tear gas, stun grenades and arrested 31 demonstrators on Monday night.

Picture in news more

More Video News

Choose TV Program