Shanghai SASAC held a meeting on July 31 to accelerate high-quality development of bulk commodity trade and build an international trading and investment platform. The meeting emphasized strategic positioning, ecological cooperation, and regulatory services. Guomao Holdings, a municipal state-owned enterprise with 13 billion yuan registered capital established in November 2025, signed framework agreements with SAIC Motor, Shanghai Electric, Shenergy Group, and Shanghai International Port Group to deepen collaboration and build a bulk commodity industrial ecosystem.
Goldman Sachs forecasts that six major tech companies will spend $765 billion on AI in 2026, with total rising to nearly $1.2 trillion in 2027. Amazon raised its full-year capex forecast to $220 billion, while its free cash flow turned negative $7.6 billion. Meta's cash generation fell 91% year-over-year, and Alphabet posted its first quarter of negative free cash flow. Memory chip shortages are driving cost increases, with Tesla CEO Elon Musk calling memory pricing 'crazy' and Amazon CEO Andy Jassy citing 'price increases' for memory chips as a factor in capex guidance.
Canada's gross domestic product rose 0.3% in May from the previous month, following an upward revision to April's growth to 0.6% from the initially reported 0.5%. On a year-over-year basis, GDP increased 1.7% in May, accelerating from a 1.1% gain in April. The data reflects continued expansion in the economy.
In 2017, Fuyao Glass chairman Cao Dewang invested $1 billion in an Ohio plant and RMB 1 billion in a Suzhou factory, which started production in early 2019 and turned profitable that year. Suzhou's first-half 2026 GDP reached RMB 1.3751 trillion, ranking sixth nationally, with 59 STAR Market listings. Key firms include Dreame Technology (2025 revenue over RMB 40 billion, growth exceeding 100% for six consecutive years, 80% overseas), Zhongji Innolight (23.4% global optical module market share, over 40% in 800G products), and others.
China's State Council has approved the Shandong Laiyang nuclear power project, including units 1 and 2, after a review by its executive meeting. Diantou Chanrong will establish a new company, Guodian Tou Nuclear Power (Laiyang) Nuclear Energy Co. , Ltd. , as the project owner responsible for investment, construction, and operation. The project will build two CAP1400 (Guohe No. 1) passive pressurized water reactor units, each with a rated capacity of 1,543 MW. The new project company is not yet formed, and preparatory work continues under the existing Guodian Tou Laiyang Nuclear Energy Co.
The State Council approved eight new nuclear power units on July 31, including six using the Hualong One reactor design, with two designated as Hualong One 2.0 demonstration projects. The Hualong One, a fully indigenous third-generation pressurized water reactor, now has 47 units in operation or under construction globally, the most among third-generation reactors. Each unit can generate 10 billion kWh annually, saving 3 million tonnes of coal and cutting CO2 emissions by 9 million tonnes.
China's State Council approved four nuclear power projects on July 31, adding eight units. The approvals cover Jinqimen Phase II in Zhejiang, Taipingling Phase III in Guangdong, Zhuanghe Phase I in Liaoning and Laiyang Phase I in Shandong. Six units will use the indigenous Hualong One design, with Jinqimen II and Taipingling III designated Hualong One 2.0 demonstration projects; Laiyang will use the Guohe One design. The projects are developed by CNNC, CGN and SPIC. Approvals extend the 2022–2025 run of at least 10 units per year; by end-2025 operating capacity stood at 62.52 million kW.
China's Ministry of Finance plans a second reissuance of 100 billion yuan in 7-year book-entry fixed coupon treasury bonds, with a coupon rate of 1.56%. The competitive bidding will take place on August 7, 2026, with interest accruing from June 15, 2026, and maturity on June 15, 2033. Class A members are eligible for additional bids.
The Hong Kong Monetary Authority reported that new mortgage loan applications rose 12.5% month-on-month to 12,117 cases in June 2026. New mortgage loans approved increased 25.8% to HK$50.6 billion, driven by gains across primary, secondary, and refinancing markets. New drawdowns rose 17.6% to HK$27.7 billion. The delinquency ratio remained low at 0.11%.
In June 2026, China recorded a surplus of 678 billion RMB (99.5 billion US dollars) in goods and services trade under the balance of payments. Total trade volume reached 5.34 trillion RMB, with exports of 3.01 trillion RMB and imports of 2.33 trillion RMB. Key service trade items included travel services at 177.3 billion RMB, transport services at 157.9 billion RMB, other commercial services at 146.7 billion RMB, and telecom, computer and information services at 73.1 billion RMB.
Over 30 foreign institutional investors from Europe, the Middle East and the United States participated in the Shenzhen Stock Exchange's 'Invest in China New Opportunities' event, visiting seven listed companies in AI computing infrastructure, high-end precision manufacturing and new energy across four cities. The tour included factory visits and discussions with management. The SZSE plans to enhance overseas roadshow services to facilitate cross-border investment and support high-level institutional opening.
In June 2026, China's foreign exchange market (excluding foreign currency pairs) posted a total turnover of 28.00 trillion yuan (4.11 trillion US dollars). The bank-to-client segment contributed 5.18 trillion yuan, while the interbank market accounted for 22.81 trillion yuan. Spot market turnover reached 10.31 trillion yuan and derivatives 17.68 trillion yuan. For the first half of 2026, cumulative turnover stood at 152.21 trillion yuan (22.08 trillion US dollars).
China's State Administration for Market Regulation (SAMR) fined seven food delivery platforms a total of 3.597 billion yuan for operating 'ghost kitchens' — unlicensed vendors using fake credentials. The penalty, announced in April 2026, is the largest under the Food Safety Law and involved over 67,000 cake-related ghost shops. To prevent recurrence, SAMR will promote electronic certificates that enable automated verification of merchant qualifications, shifting from reactive enforcement to proactive prevention and smart regulation.
China's National Development and Reform Commission announced the tenth fuel price increase of 2026, raising gasoline and diesel prices by RMB 685 and RMB 655 per tonne respectively from July 31. Nationally, 92 RON gasoline, 95 RON gasoline, and 0# diesel rise by RMB 0.54, RMB 0.57, and RMB 0.56 per liter. Filling a 50-liter tank of 92 RON gasoline costs an extra RMB 27. The adjustment follows volatile international crude prices amid Middle East tensions.
China's economy grew 4.7% year on year in the first half of 2026, adding 3.6 trillion yuan, with new growth drivers contributing over 40% of expansion. High-tech industries investment rose 4.6%, while retail sales of smart wearable devices more than doubled. The government is drafting a strategy to expand domestic demand through 2030, stepping up water and computing infrastructure construction that attracted more than 10.8 billion yuan in private capital. Macro policies will increase counter-cyclical support, accelerate disbursement of 800 billion yuan in new policy financial instruments, and advance AI legislation.
China's National Development and Reform Commission (NDRC) announced plans to accelerate the legislative process for an artificial intelligence law, aiming to establish a key institutional framework and provide a distinctive AI governance approach. As of the end of June 2026, the national AI computing power scale had reached 2.8 times that of the same period in 2025, with AI-related industries expanding by over 30%. The NDRC emphasized the need for risk monitoring and human-centered development. Additionally, estimates indicate that the computing network during the 15th Five-Year Plan period will attract RMB 4 trillion in direct investment.
Hungary's former foreign minister Péter Szijjártó resigned on July 15, 2026, to join BYD as head of external relations, after overseeing the company's investment in Hungary. Five days later, the new Hungarian government announced a full investigation into his decisions related to the BYD project. The case highlights shifting European investment patterns, as China-CEE trade reached 580.12 billion yuan (RMB) in the first half of 2026, growing for a tenth consecutive year.
The Bank of Japan kept its policy rate unchanged at 1 percent in an 8-1 vote, with board member Takata Sōtō dissenting in favor of a hike to 1.25 percent. The central bank reiterated its intent to continue raising rates based on economic and price conditions. Last month, the bank raised the benchmark rate to its highest since 1995. Following the decision, the dollar strengthened to 160.77 yen, and 100 yen bought 4.88 Hong Kong dollars.
The ChiNext board of the Shenzhen Stock Exchange has reached 1,400 listed companies with a total market capitalization of about RMB 17 trillion as of July 30, 2026. Nearly 90% of these firms are high-tech enterprises, over 60% operate in strategic emerging industries, and more than 80% are private. Cumulative R&D investment during the 14th Five-Year Plan period exceeded RMB 959.1 billion. Deepening reforms, including a fourth set of listing standards introduced in April 2026, have attracted 8 new applicants in areas such as humanoid robots, drones, AI, and chips. The board has also facilitated over RMB 2.41 trillion in financing and supported 713 companies with pre-IPO venture capital investments totaling over RMB 72 billion.
China’s official manufacturing purchasing managers’ index dropped to 49.2 in July from 50.3 in June, slipping into contraction for the first time in five months and missing the median forecast of 50.1. The new orders sub-index tumbled to 48.5, while production retreated to 49.9. The non-manufacturing PMI fell to 49.0, the lowest since December 2022, and the composite output index eased to 49.3%. The economy grew 4.3% in the second quarter, down from 5% in the first quarter, the slowest pace since late 2022. The Politburo pledged to boost policy support to counter headwinds.
Five years after being designated one of China's first international consumption center cities, Guangzhou's total retail sales of consumer goods reached 1.1 trillion yuan in 2025, leading the five pilot cities with 5.5% growth. By the first half of 2026, growth remained the fastest at 2.9%. Top commercial brands including Taikoo Hui, K11, Taikoo Li, Mixc, and SKP have all entered the city. Fast-fashion giant SHEIN's valuation exceeded 450 billion yuan, making it China's third-largest unicorn. Initiatives such as expanded tax refunds and trade-in policies boosted consumption, with over 1.7 trillion yuan in total retail sales sustained.
NDRC spokesperson Jiang Yi said on July 31 that institutions estimate the 15th Five-Year Plan period will bring RMB 4 trillion in new direct investment for computing power network construction. As corporate investment dominates, this creates significant opportunities for private capital. The NDRC will enhance planning and factor guarantees to foster a favorable environment for private investment.
China's National Development and Reform Commission reported that in the first half of 2026, goods trade with Belt and Road partner countries reached RMB 12.97 trillion, up 14.8% year on year, accounting for 50.9% of total foreign trade. Investment cooperation expanded into high-tech and green sectors. Infrastructure projects advanced, including the Hungary-Serbia Railway's freight service launch, full construction of the China-Kyrgyzstan-Uzbekistan Railway, and 11,186 China-Europe freight train trips, a 20.2% increase.
China has largely allocated 755 billion yuan of central budget investment for 2026, with increased emphasis on livelihood projects. The National Development and Reform Commission stated the investment integrates physical and human capital. For disaster relief, 750 million yuan was released in 14 batches since the 2026 flood season. Under work-for-relief programs, 39.5 billion yuan funded over 7,800 projects, employing 1.5 million workers and raising per capita income by more than 10,000 yuan.
China’s Politburo, at a July 30 meeting, pledged to strengthen macro policy effectiveness and intensify counter-cyclical adjustment, while prioritizing the expansion of domestic demand and the development of emerging pillar industries. Fiscal measures will accelerate the use of government bond funds; outstanding new quotas exceed RMB5.7 trillion over the remaining five months. The meeting elevated the strategic position of AI, advanced technology, and industrial networks, and upgraded the capital market goal from stabilizing confidence to enhancing resilience and confidence. This marks the first Politburo-level emphasis on building emerging pillar industries, signaling stronger investment and resource support.
China's manufacturing Purchasing Managers' Index (PMI) fell to 49.2% in July 2026, entering contraction territory due to a high base from earlier rapid growth and the onset of the traditional off-season for some industries. The equipment manufacturing and high-tech manufacturing PMIs stood at 51.4% and 53.3%, respectively, maintaining expansion. In contrast, consumer goods and high-energy consumption sectors weakened. The production index and new orders index declined to 49.9% and 48.5%, while input prices remained elevated at 53.2% and output prices fell to 47.8%.
In the first half of 2026, Beijing's gross domestic product totaled 2,641.19 billion RMB, a real increase of 5.4% year-on-year, moderating from 5.9% in the first quarter. Strategic emerging industries and high-tech manufacturing drove industrial output, growing 12.8% and 15.7%, respectively. Service robot output surged 2.3 times, while industrial robot and new energy vehicle production rose 75.5% and 18.5%. General public budget revenue climbed 6%, with tax revenue accounting for 89.3%, maintaining the best level nationally. Retail sales fell 2.2%, but service consumption grew 4.5%.
India has approved a 1.275 trillion rupee ($13 billion) Semiconductor 2.0 incentive plan, shifting from tentative initial steps to a full ecosystem approach. The plan targets mature-node wafer fabrication, advanced packaging, and chip design, while expanding support to materials, equipment, and talent. Despite 19% annual demand growth, India imports 90-95% of its semiconductors. The funding is smaller than the US, EU, and Japan chip subsidies, and challenges remain in infrastructure and logistics.
China's 15th Five-Year Plan calls for a modern logistics system, with the total value of social logistics reaching RMB 368.2 trillion in 2025 and the ratio of logistics costs to GDP falling to 13.9%. The plan integrates logistics into a broader infrastructure framework, with 181 national logistics hubs and 105 cold-chain bases built. Over 80% of counties are covered by the national transport corridor network. The report also highlights challenges such as limited strategic channels and digitalization gaps.
US personal consumption expenditure (PCE) price index rose 3.7% year-on-year in June, down from 4.1% in May, while core PCE eased to 3.3% from 3.4%. Personal spending increased 0.3% month-on-month, and the personal savings rate fell to 2.7%, a four-year low. The Federal Reserve held interest rates steady, with three dissenting members favoring a hike. Chair Walsh cited market rate increases as providing policy buffer.