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China economy

China economy
Breaking news and analysis on China’s economy, including its opening up, the US-China trade war, the impact of tariffs and trade talks, growth rates and other key economic data, the Belt and Road Initiative, and Greater Bay Area plan.
Tourists crowd an alley in Seoul’s popular Bukchon Hanok village. Chinese outbound tourism is expected to grow in 2026. Photo: The Korea Times
China travel

China’s outbound travel set to soar by 10 million trips – but halve in Japan

Chinese tourist flows to Japan could plunge to as low as 4.8 million this year from 9.3 million in 2025 amid political dispute, survey finds.

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China’s private sector

Changing tastes: China’s new affluent consumers seek quality not extravagance

Chinese offshore investment

How China’s global investment model is changing – and what it means for the yuan

Social media

Video | Why has America’s ‘kill line’ gone viral in China?

The public debate has inevitably drawn parallels with problems faced by China’s own population.

What is a ‘kill line’ and why are Chinese netizens using it to describe living in the US?
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US-China relations

US government abandons plan to blacklist Chinese-made drones

Commerce Department, FCC make U-turn after barring imports of new Chinese drone models in December to address national security concerns.

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US-China relations

Trump-Xi diplomacy put to test thanks to contentious tit-for-tat Covid lawsuits

Unpaid billions of dollars in judgments against China sucks US State Department into escalating legal dispute, but Beijing remains defiant.

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China's economic recovery

China cautions against ‘compound errors’ from clashing policies

Party mouthpiece calls for better coordination and market guidance as 15th five-year planning period begins, warning conflicting rules unsettle investors.

The illuminated CCTV headquarters and nearby skyscrapers are seen on November 9 in Beijing. China’s leadership is calling for stronger policy narratives and prompt responses to market concerns. Photo: Getty Images
Yuan

Yuan to strengthen to 6.85 per US dollar in first quarter 2026: Morgan Stanley

Strong export growth and US dollar weakness are expected to bolster the currency, the bank says.

China’s private sector

China to probe food delivery platforms under anti-monopoly law

State Council announcement cites ‘excessive subsidies’ and ‘price wars’ in document unveiling market assessment for online delivery services.

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China inflation

China prices pick up, Venezuela raid fallout, Carney visit

This week: China inflation hits highest since February 2023, US abduction of Venezuela’s Maduro spurs criticism, Meta-Manus deal draws scrutiny. Next week: Canada’s Carney visits China, December trade figures come out, Jimmy Lai returns to court in Hong Kong and more.

Photo: EPA
China shipbuilding

China’s shipyards still lead the world, but US threats took a toll in 2025

Chinese shipbuilders saw their market share dip for the first time in five years in 2025, as uncertainty over US port fees roiled the industry.

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A ship is under construction at a shipyard in China’s eastern Jiangsu province. China remains the world’s top shipbuilder, but its market share dipped last year amid uncertainty over US port fees. Photo: AFP
Mainland China

Video | Why are women-only communities growing in China?

Economic independence and educational opportunities are enabling women to focus on their own needs, while social media has exposed many to alternative lifestyles.

China inflation

China’s consumer prices stay flat in 2025 amid focus on price wars

Beijing has been intensifying efforts to combat industrial overcapacity and fierce competition in key sectors, aiming to stabilise the economy and support growth.

China trade

With US focused on Venezuela, China has window to pressure Japan: analysts

Beijing’s trade actions raise stakes with Tokyo, as China’s rare earth power and Japan’s chip dominance are seen as potentially key levers in their bilateral dispute.

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A worker helps make semiconductor chips for export at a factory in China’s Shandong province. Japan has a commanding market share in semiconductor equipment and materials. Photo: AFP
Electric & new energy vehicles

Shanghai steps up oversight of delayed payment practices hurting suppliers

Task force set up to protect supply-chain vendors and stabilise manufacturing amid fierce price wars.

The move comes after Shanghai published its latest action plan to build a world-class business environment. Photo: AFP
US-China relations

Trump wants US$1.5 trillion for military. Will China boost spending too?

Analysts say Donald Trump’s military budget proposal aims to blunt China’s influence, but some dismiss the spending plan as ‘fanciful’.

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Mergers & Acquisitions

China’s Sinopec, CNAF to undergo consolidation, creating energy powerhouse

State Council approves reorganisation between Sinopec and China National Aviation Fuel Group, state asset regulator says.

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US-China trade war

China says US trade war, tech curbs have spurred ‘independent innovation’

In the first year of new five-year plan, party mouthpiece says list of ‘chokepoint technologies’ is narrowing.

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A Chinese flag is displayed next to a “Made in China” sign seen on a printed circuit board with semiconductor chips. Photo: Reuters
China manufacturing

China seeks ‘safe and reliable’ AI supply as global tech race heats up

Special action plan to promote application of three to five large AI models in manufacturing sector.

China-Japan relations

As Beijing targets Tokyo over Taiwan remarks, what levers does Japan have?

Japanese control of chemical used in semiconductors could prove significant, analysts say.

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China property

China Vanke offshore creditors face near wipeout in Barclays worst-case scenario

British bank warns recoveries could fall below 1 per cent as restructuring priorities and access to assets remain uncertain.

In a base-case scenario, China Vanke bondholders may recover 10.1 per cent of what they are owed, according to Barclays. Photo: Reuters
US-Venezuela conflict

US won’t rule out pressuring Venezuela to curb China, Russia ties

White House vows continued ‘American dominance in the western hemisphere’ as Trump claims Caracas will now buy ‘only American-made’ products.

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US White House Press Secretary Karoline Leavitt addresses the media during a press briefing in Washington on Wednesday. Photo: EPA
China deflation

China discourages trend-chasing among officials, warning of ‘involution’

Communist Party newspaper says authorities should avoid ‘policy bandwagons’ that could lead to economic imbalances, urging plans based on local strengths.

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China trade

China initiates anti-dumping probe against Japan over key semiconductor chemical

Beijing’s investigation targets imports of dichlorosilane from Japan, alleging dumping that harms Chinese production, amid escalating bilateral and trade tensions.

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Banking & finance

China signals flexible use of monetary tools in 2026 to support 5-year plan

Boosting domestic demand, addressing debt risks and promoting yuan’s international use also priorities for coming year.

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The People’s Bank of China has announced a series of goals for 2026, from promoting cross-border yuan use to increasing domestic consumption and managing debt risks. Photo: Shutterstock
China trade

Price wars in China

Intense price competition in China, known as “neijuan” or involution, is causing deflationary risks, corporate losses, reduced investments and wage pressure.

Price wars in China
China manufacturing

Shanghai unveils US$10 billion investment spree as US-China tech race heats up

Shanghai announces 50 new projects across an array of hi-tech industries as China’s cities heed Beijing’s call to double down on innovation.

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China exports

Editorial | Amid rivalry with US, silver can be seen as China’s new industrial leverage

Beijing’s export controls are simply about following the logic of the market and geopolitics in the interest of the nation.

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