China Economy

In Hangzhou, one office building now houses around 10 hotels, alongside restaurants, photography studios and second-hand luxury stores.

The main drivers of the growth are the tertiary sector – covering services including AI cloud services – and residential use.

Beijing tightened oversight of China’s online lending market last year, but many are still borrowing, especially those of younger generations.

Despite Trump’s support for landmark accord, US Trade Representative Jamieson Greer said Ottawa may regret its decision ‘in the long run’.

From China’s EV power to Hegseth’s new threat, here are highlights from the SCMP’s overseas correspondents in the first half of January 2026.

Beijing’s Treasury holdings hit a September 2008 low, and analysts point to fears over Fed independence and debt sustainability, while gold’s appeal rises.

Canadian Prime Minister Mark Carney announced the deal, which features a mutual reduction in tariffs on goods, including Chinese EVs.

This week: China and Canada to cut tariffs, Taiwan agrees chips and tariff deal with US, China trade surplus hits record, and PBOC cuts relending rates. Next week, China economic growth may hit post-Covid low, Trump attends Davos, DeepSeek reaches first anniversary, and more.

China’s pivot to a tech-driven economy is thrilling, but its success will be judged by how it improves people’s everyday lives.

Survey by American Chamber of Commerce in China finds that expectations for Sino-US ties have ‘improved significantly’.

‘Investors should reduce their leverage levels to guard against the risk of volatility,’ BOC International’s Wang Jun says.

To shift to a new growth model, China must redirect its focus from skyscrapers and infrastructure to raising educational attainment.

Typical subsidy on an EV drops by around US$1,150, changing buyer calculations and exacerbating the sector’s profitability woes.

Big data is used to flag income gaps for top online stars and overseas earners, as regulators recover billions in unpaid levies amid slumping land sales and value-added tax revenue decline.

Beyond the central bank’s rate cuts that take effect Monday, authorities will work to lower the minimum down payment for commercial property purchase loans to 30 per cent.

European Union Aviation Safety Agency test flights a crucial step in acquiring certification needed for global operation.

What looks like a side-effect of ‘coal-to-gas’ heating programmes is really a structural issue: rural pensions are not enough to live on.

Agreement on price floors will allow mainland carmakers to avoid price wars and nurture brand reputation, analysts say.

US government warns global suppliers to negotiate agreements to secure reliable, diversified supplies for the US or face new trade hurdles.

Beijing is striving to boost household spending amid an economic slowdown. But first it needs to stabilise the housing market, scholars say.

Chinese exporters brushed off the US trade war in 2025, partly by finding new markets, while lower oil prices and investments in renewable power kept imports flat amid economic growth.

Inflows fall 58 per cent as sovereign wealth funds grow cautious, yet outlook signals selective opportunities ahead, experts say.

As property curbs to boost spending hit practical limits, a push to stabilise assets is now being seen as a prerequisite for consumer confidence.

China’s outbound travel sector has bounced back from the pandemic, but the era of duty-free shopping sprees appears to be over.

China posted its first trade surplus above US$1 trillion in 2025 as exporters reshaped operations to weather the US trade war and imports stagnated amid lower oil prices.

Shipments to Asean and Africa surged to drive a record US$1.19 trillion surplus for China, offsetting headwinds as leaders push to boost local demand.

China exported 206 gigawatts of photovoltaic modules in the first nine months of 2025, up 10 per cent from a year earlier.

China’s energy buildout means cheap, green and reliable electricity fuels its manufacturing and tech industries, giving it an edge over rivals.