The National People's Congress kicked off with Premier Li Qiang delivering the GWR on behalf of the State Council. This GWR outlines the major tasks of the government’s work in 2026 and some directions of the 15th Five Year Plan (FYP) (2026-2030). Knowing the overall direction of the government for this year is increasingly essential for German companies operating in an ever more complex business environment in China.
Key takeaways are:
- Long-term perspective: This year’s policy agenda places strong emphasis on long-term economic growth and structural reform – the focus is clearly not on short-term economic stimulus or other immediate measures.
- Tech-driven economy: Science and technology are now even more explicitly linked to achieving high-quality development and strengthening self-reliance – amplified by comprehensive AI applications, tech services and original innovation in all key technologies along the value chain.
- Strong domestic market: Increasing domestic demand, unifying the Chinese market including anti-involution all culminates into the goal of using the potential of a (now framed as super big) market.
The Deep Dive also features the following topics:
- The overall picture including GDP growth target and spending.
- Technology focus elevated to tech-driven economy
- A strong market as answer for the demand
- Unified national market and anti-involution for a strong market
- Foreign investment into China – but also vice versa
AHK perspective:
- For German companies, the GWR conveys a clear message: it is future-oriented sectors and technological innovation that are set to decisively shape the further development of the Chinese economy.
- At the same time, it becomes very clear that many of these efforts are designed for the long term. For our member companies, this means that short-term measures to stimulate domestic demand are not very likely - despite the fact that weak demand has been one of the major challenges for years.
- All the more important is for German companies to define and, where necessary, adjust their business areas and niches wisely in order to position themselves competitively in the Chinese market over the long term.