China Economic Growth

China's auto sales sink as phase out of subsidies for trade-ins hits demand

China's domestic passenger car sales fell 34.2% in February from a year earlier, an industry association said Wednesday, reflecting weakening demand as some trade-in subsidies are phased out. Only 950,000 units of passenger cars were sold in China last month, according to the China Association of Automobile Manufacturers, down from nearly 1.4 million vehicles sold in January. Overall passenger car sales including exports dropped 15.4% year-on-year, even as shipments overseas jumped 58% to 586,000, highlighting the challenges for Chinese carmakers trying to offset sluggish domestic sales by expanding into foreign markets. Automakers have been struggling with weak demand as the government has been phasing out trade-in subsidies to encourage purchases of electric vehicles. Chinese consumers have also been steering clear of big purchases, feeling a pinch from a slowing economy and protracted property slump. The Lunar New Year festival, China's biggest holiday, took place in February, .

China's exports jump nearly 22% in Jan-Feb despite waning trade with US

China's exports rose nearly 22% in the first two months of the year from a year earlier, as its trade with countries other than the United States expanded. The export figures released by China's customs agency on Tuesday were much better than economists had forecast. They far exceeded the 6.6% annual pace of growth recorded in December. Imports in January and February rose almost 20%, up from December's 5.7% year-on-year increase. However, China's imports from the United States dropped nearly 27% from a year earlier. China's exports have been a bright spot for its economy despite tensions with the US. China's exports climbed 5.5% for 2025 as its trade surplus surged to a record of nearly $1.2 trillion. Higher shipments to other regions including Europe and Latin America helped offset a 20% drop in exports to the US as US President Donald Trump imposed a variety of higher tariffs on imports from much of the world. China's global trade surplus in January-February was $213.6 billion.

Why China cut its GDP growth target to 4.5-5% as risks mount in 2026

China has lowered its 2026 growth target to 4.5-5%, the lowest since 1991, as weak domestic demand, property sector troubles and rising global tensions add uncertainty to the nation

China raises nuclear capacity target despite missing earlier goals

The government last week set a goal of 110 gigawatts of nuclear capacity by 2030 in its latest five-year plan draft, a 76 per cent jump from the end of last year

China's 'smart economy' strategy spurs hunt for new stock winners

The latest signals from Beijing's political gathering have reinforced the view that tech self-reliance and industrial upgrading will anchor economic growth in the years to come

What China's latest economic plans say about tech ambitions, US rivalry

Two major economic plans unveiled at the annual meeting of China's legislature outline top priorities that have different ramifications for the global economy. In the government plan for 2026, the No. 1 task is "building a robust domestic market". Then comes accelerating technological progress. But longer-term, a plan for the next five years, gives more prominence to achieving advances in tech. The subtle difference highlights the government's balancing act. Its overarching goal is to transform from a low-cost manufacturing to a tech-driven economy. But a more immediate concern is dealing with a prolonged period of sluggishness that has depressed consumer and business confidence. China is such a large exporter that the choices it makes affect countries and jobs around the world. The plans, presented at the recent opening of the National People's Congress, offer a window into the government's thinking. They are set to be formally endorsed by the rubber-stamp legislature at the end o

China's $23.9 bn port push: How Beijing is reshaping global maritime trade

A new global report shows Beijing has financed hundreds of port projects across continents, expanding its role in maritime trade infrastructure

China sets low growth target of 4.5% to 5% for 2026 amid property slump

China has set an economic growth target of 4.5 per cent to 5 per cent for this year, a slight decrease in the face of a prolonged property slump and other headwinds and uncertainty abroad. The target was announced on Thursday in an annual report being presented by Premier Li Qiang at the opening session of this year's meeting of the National People's Congress. The report set the goal and added "while striving for better in practice." The target was lowered from about 5 per cent in each of the last three years. The economy grew 5 per cent last year. Setting a range of 4.5 per cent to 5 per cent gives the government more leeway to adjust policies this year.

China's factory activity worsens amid Lunar New Year holiday lull

The non-manufacturing measure of activity in construction and services increased slightly to 49.5, compared with a forecast of 49.7

China to unveil priorities for next 5 years at key annual political meeting

China's ceremonial legislature is set to meet Thursday, where it will unveil the country's policy direction and economic goals for the coming years. The meeting is held in Beijing, where the National People's Congress and its advisory body gather. The National People's Congress will ratify new laws decided by China's Communist Party leadership. While the nearly 3,000-member body technically votes, the vote is always almost unanimous. Also meeting is the Chinese People's Political Consultative Conference, an advisory body composed of elite members of Chinese society, from businessmen to athletes. They also include representatives from China's minority groups, but the body has little power on issues of public policy. The gathering of these two bodies is called the Two Sessions. The political meetings have changed under President Xi Jinping's rule, with tighter scripts and less scope for debate. "A long, long time ago, it was a venue for policy deliberation," and even controversial ..

China's growth ambitions face limits as its national congress meets

China's progress in building a modern economy, evident in its kung-fu fighting robots and self-parking cars, is hitting limits as a downturn in its housing industry drags on, small businesses suffer and young people struggle to find jobs. The gap between Chinese leader Xi Jinping's high-tech, artificial intelligence-driven ambitions and the hard realities of slowing growth is the backdrop for the annual meeting of the country's largely ceremonial national legislature, the National People's Congress, which begins Thursday. During the meetings, which draw about 3,000 deputies to Beijing, top leaders will outline China's annual target for growth and the congress will endorse a five-year blueprint of policy priorities until 2030. "What we'll see is the trade-off between whether it's going to be industry and tech, or looking after domestic demand," said Alexander Davey, an analyst at the Mercator Institute for China Studies. "These are the two priorities that are juggling for Xi Jinping

As China's economy slows, young people buy cheap homes to retire early

The "Life in Venice" housing development, a multibillion-dollar replica of the Italian city on the Chinese coast, stands silent. Many of the tens of thousands of homes are hollow husks of concrete and alabaster. But in recent years the remote, partially abandoned complex has drawn unlikely new residents like Sasa Chen, a burned-out young Chinese woman who until recently worked a high-earning finance job in Shanghai, China's bustling commerce hub. The appeal? Chen pays just 1200 RMB, or USD 168, a month for her apartment in faux Venice in the eastern Chinese province of Jiangsu. It's so cheap that it's allowed Chen to retire at the tender age of 28. Experts say Chen is part of a broader trend that has seen a growing number of young people across China migrating to small towns and cities, taking advantage of cheap real estate prices that have been plummeting since the COVID pandemic. It's a stark reversal from previous generations that prised upward mobility. In decades past, China'

China's key policy meeting puts tech, stimulus in focus for investors

At the weeklong gathering of the National People's Congress starting March 5, officials are expected to set a 2026 growth target of 4.5% to 5%, down from around 5% in recent years

Why are private equity firms struggling to exit their China investments

China's slowing economy and falling valuations have made exits harder for private equity firms, delaying capital returns and disrupting global investment cycles

China's manufacturing activity gauge expands for export-oriented firms

China has seen weakening momentum in the economy in recent months, with few signs policymakers intend to unleash major stimulus as they continue to battle risks tied to local government debt

China factory activity contracts in Jan, manufacturing PMI drops to 49.3

Sub-indexes of new orders and new export orders also saw declines, respectively down to 49.2 from 50.8 in December and 47.8 from 49.0 in December

China's birth rate hits record low: Why Chinese youth aren't having kids

Births in China fell to a record low in 2025 despite subsidies and policy shifts, as young Chinese delay marriage and parenthood amid high costs, job uncertainty and long working hours

China's economic momentum weakens despite meeting 5% growth goal

The world's second-largest economy expanded 4.5 per cent last quarter from a year earlier, the slowest pace since the reopening from Covid lockdowns in late 2022

China's fresh tech surge powers stock rally despite fragile economic growth

Thanks to fresh progress in sectors from commercial rockets to robotics and flying cars, Chinese tech shares have begun the new year with a bang

US firms worry more about China's economy than trade tensions: Survey

US businesses are more concerned about China's slowing economy than trade friction, according to a survey by the American Chamber of Commerce in China released Friday. Of 368 companies responding to the survey, 64% viewed slowing growth in the world's second largest economy as their top worry, while 58% cited US-China trade tensions as a key challenge. One reason for that may be that many US companies have businesses focused on China's huge market of about 1.4 billion people that do not rely on exports back to the US Economists expect China's economy to slow further this year after expanding at about a 5% annual pace in 2025. Growth in exports outpaced imports last year, leading to a record trade surplus of nearly $1.2 trillion. The report said business sentiment has improved from last year. More than half of those responding estimated that they made a profit in 2025, up from less than half last year. It has been a rocky ride for American businesses in recent years, especially aft