Published on: 2026-07-17
Source: People’s Republic of China — Translation
An important disclaimer is at the bottom of this article.
The first half of 2026 became an important stage for China’s economy. As the first year of implementation of the 15th five-year plan, it took place amid persistent instability in the global economy, geopolitical tensions, and a slowdown in global trade. Nevertheless, data published by the National Bureau of Statistics of China indicate that the Chinese economy not only maintained its resilience but also continued qualitative transformation, strengthening its role as one of the key drivers of global economic growth.
As of the results for January-June, China’s gross domestic product reached 69.57 trillion yuan, increasing by 4.7% year-on-year. For the world’s second-largest economy, such a growth rate remains high and corresponds to the annual targets set. It is especially important that the growth was ensured not by short-term stimuli, but by a combination of stable industrial production, development of domestic demand, technological innovations, and expansion of foreign trade.
The main feature of the first half of the year was the acceleration of the transition to a new growth model. High-tech manufacturing, the digital economy, and artificial intelligence are playing an increasingly significant role. The added value of high-tech industry increased by 13.3%, and equipment manufacturing by 9.3%. More than 40% of economic growth is already provided by new sectors, including the digital economy, modern services, and advanced machinery manufacturing. Production of integrated circuits grew by 23.1%, and AI-related industries maintain growth rates above 30%, indicating the formation of a new technological foundation for the Chinese economy.
Achievements in the energy sector are no less indicative. By the end of May, the installed capacity of power plants exceeded 4 billion kW for the first time, maintaining China’s global leadership. Such a large-scale energy base ensures the sustainable development of industry and simultaneously reflects an accelerated transition to environmentally friendly energy. China continues to be the world leader in the production of equipment for solar and wind generation, forming the foundation of the global energy transition.
At the same time, the domestic market is strengthening. The government program for upgrading consumer goods has already secured sales of more than 1 trillion yuan, and the number of participants has exceeded 136 million people. Demand for intelligent and environmentally friendly products is growing: sales of wearable smart devices have more than doubled, and the market share of new energy vehicles has exceeded 60% for the third consecutive month. All this confirms the gradual transition of the Chinese development model from quantitative expansion to growth in consumption quality.
Despite the challenging international situation, China maintains a high pace of foreign trade. In the first half of the year, the volume of imports and exports of goods reached 25.47 trillion yuan, increasing by 16.9%. Cooperation with the countries of the “Belt and Road” initiative and African states is developing particularly rapidly. After China introduced a zero-tariff regime for 53 African countries, the trade volume with Africa exceeded 1 trillion yuan for the first time, confirming Beijing’s desire to expand mutually beneficial cooperation and support the openness of the global economy.
The social sector remains an important factor of stability. The average urban unemployment rate stayed at 5.2%, inflation remains moderate at 1%, and real incomes of the population continue to grow. The summer grain harvest was record-breaking again, which strengthens food security and internal stability.
Published data shows that China successfully combines the maintenance of macroeconomic stability with deep structural modernization of the economy. The development of productive forces of a new quality, acceleration of digitalization, expansion of domestic demand, and consistent openness policy are becoming the main sources of further growth. In conditions where the International Monetary Fund is lowering forecasts for global economic growth, China remains one of the few largest economies whose forecasts have been revised upwards. This indicates not only the high resilience of the Chinese economy itself but also its growing importance for world trade, global production chains, technological development, and international economic stability. The initial results of implementing the 15th Five-Year Plan show that China retains the ability to ensure sustainable growth while simultaneously creating new development points for both its own economy and the world.
Author: Anushervon Rasulov
Please note; This information is raw content obtained directly from the source. It is an accurate report of what the source claims and does not necessarily reflect the position of MIL-OSI or its clients.