China's gross domestic product (GDP) expanded by 4.7% year-on-year in the first half of 2026 to 69.6 trillion yuan, with the incremental value reaching 3.6 trillion yuan—the largest for the same period in five years—according to Mao Shengyong, deputy commissioner of the National Bureau of Statistics (NBS), at a State Council Information Office press conference on July 15. He noted that achieving such growth as a super-large economy is commendable.
Despite a moderation in the second quarter, the economy maintained its stable, resilient, innovative and improved characteristics. The surveyed urban unemployment rate averaged 5.2%, unchanged from a year earlier. Consumer prices rose mildly, with the CPI up 1.0%, core CPI up 1.2%, and PPI up 1.5%. The balance of payments remained solid, with goods trade hitting a record high, foreign exchange reserves staying above $3.4 trillion, and the renminbi appreciating about 3% against the US dollar from the start of the year.
Energy supply showed resilience. Amid Middle East geopolitical tensions disrupting global energy markets, China boosted domestic production and diversified imports. Output of crude oil, natural gas and electricity all reached record highs for the period, ensuring stable supply. Grain security was strengthened, with summer grain output exceeding 300 billion jin for the first time, rising 2 billion jin from the previous year. Foreign trade also proved resilient, with total goods trade reaching 25.5 trillion yuan, exports up 13.4% and imports up 22.1%; China's share of global trade in the first quarter rose about 0.8 percentage points year-on-year.
New growth drivers contributed more than 40% to economic expansion. Value-added of high-tech manufacturing above designated size grew 13.3%, and digital product manufacturing rose 12.3%; together they accounted for nearly half of industrial growth while comprising just over 20% of industrial value-added. Output of lithium-ion batteries surged 39.3%, driven by demand for new energy vehicles and energy storage; nuclear power generators and hydro-turbine generators jumped 92.0% and 51.9%, respectively, buoyed by clean energy development. Specialized and sophisticated "little giant" industrial enterprises recorded a 10.4% year-on-year increase in value-added.
The quality of development continued to improve. Manufacturing's share of GDP rose to 26.2%, up 0.4 percentage points from three years earlier. Profits of industrial enterprises above designated size grew 18.8% in January-May, maintaining double-digit growth. Energy consumption per unit of GDP fell 1.9% year-on-year. The services sector expanded 5.2% to 41.4 trillion yuan, accounting for 59.5% of GDP and contributing 66.1% to economic growth. However, fixed-asset investment (excluding rural households) declined 5.7% to 22.637 trillion yuan, though investment structure improved, with intellectual property product investment reaching 13.8% of fixed-asset investment.