On July 15th, the National Bureau of Statistics released economic performance data for the first half of 2026. The figures indicate that China's economy has withstood pressures to maintain a generally stable development trajectory characterized by new momentum and improved quality, showcasing strong resilience and vitality.
In terms of growth, the Gross Domestic Product (GDP) for the first six months of the year reached 69.6 trillion yuan. Calculated at constant prices, this represents a year-on-year increase of 4.7%, a growth rate that aligns with the annual economic growth target. Compared to the first half of last year, the GDP increment was 3.6 trillion yuan, marking the largest increase for the same period in the past five years.
Regarding employment, the average surveyed urban unemployment rate stood at 5.2%, which is level with the same period last year and represents a 0.1 percentage point decrease from the first quarter.
On the price front, the Consumer Price Index (CPI) saw a moderate recovery, rising 1.0% year-on-year, while the core CPI increased by 1.2%. Overall, the CPI remained above the 1% level throughout the first half of the year. The Producer Price Index (PPI) turned positive, rising 1.5% in the first half after a 0.6% decline in the first quarter.
In foreign trade, despite a global slowdown in trade growth, China's imports and exports demonstrated significant resilience. The total value of goods imports and exports for the first half reached 25.5 trillion yuan, with exports growing by 13.4% and imports surging 22.1%. In the first quarter, China's share of global trade increased by approximately 0.8 percentage points year-on-year.
Looking at new growth drivers, the value-added of high-tech manufacturing enterprises above a designated size grew by 13.3% year-on-year in the first half. Within this sector, the value-added for aerospace equipment manufacturing and electronic and communication equipment manufacturing grew by 16.3% and 17% respectively. Industries related to artificial intelligence, such as integrated circuit manufacturing and intelligent vehicle equipment manufacturing, maintained high growth rates exceeding 30%.
Concerning quality and efficiency, the value-added of the manufacturing sector accounted for 26.2% of GDP in the first half of this year, an increase of 0.4 percentage points compared to three years ago. Corporate profits and expectations have improved. From January to May, the profits of industrial enterprises above a designated size grew 18.8% year-on-year, maintaining double-digit growth since the beginning of the year.
In June, the manufacturing Purchasing Managers' Index (PMI) was 50.3%, and the services business activity index was 50.4%, rising by 0.3 and 0.1 percentage points respectively from the previous month, indicating generally stable market expectations.
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