Expert says China's economic development 'very positive' in H1 2026

Sydney (ANTARA) - China’s economic development has been “highly positive” in the first half (H1) of 2026, a difficult year for many economies, according to a leading Australian expert on the Chinese economy.

In a recent interview with Xinhua, Hans Hendrischke, professor of Chinese business and management at the University of Sydney Business School, said China achieved very good results during the period, with a stable economy and rising exports.

China’s gross domestic product (GDP) grew 4.7 per cent year on year in H1 2026, according to data released by the National Bureau of Statistics of China on Wednesday (15 July).

Hendrischke said the positive results were an indicator of careful macroeconomic planning behind China’s economic growth, with the growth rate remaining within the target range.

Hendrischke was impressed by the strength of China’s export growth, saying the growth was very strong.

China’s foreign trade jumped 16.9 per cent year on year in H1 2026 to 25.47 trillion yuan (1 yuan = Rp2,665), according to data from the General Administration of Customs of China.

Of that total, exports rose 13.4 per cent year on year to 14.73 trillion yuan, maintaining growth for eleven consecutive quarters, while imports increased 22.1 per cent to 10.74 trillion yuan, or 8.7 percentage points higher than the export growth rate, facilitating more balanced trade development.

Hendrischke said China’s exports had grown particularly in areas with solid prospects, including high technology, advanced manufacturing, industries related to artificial intelligence (AI), and green energy.

“So the fact that China has been able to enter those markets and lead in those markets is important for its future role,” he said.

Hendrischke believes China has become a driver of global economic growth thanks to its solid economic performance and stable supply chains, while also developing into a reliable partner in terms of both technology and trade.

“For future technical growth, for example, China’s role in renewable energy is something that will become very important for the global economy,” he said.

Hendrischke also said that, beyond the more visible fields of technology and trade, China is playing an increasingly important role in international financing and institutional development.

“China is now a major partner for financing in developing countries,” he said. “(In) yet another field, which is easily overlooked, China is increasingly becoming an institutional partner in terms of setting standards, creating procedures, creating openness, for example, for digital interaction, for AI.”

Looking ahead to the second half (H2) of the year, Hendrischke said he remained optimistic about China’s economic prospects. “China will grow and will perform well in H2 if nothing unexpected happens.”

Speaking about China-Australia economic and trade cooperation, Hendrischke said the two economies are complementary.

China is increasingly relying on its supply chains, technology exports and high technology development, while Australia is a supplier of resources, he said.

“So Australia benefits greatly from having a trade partner, a business partner like China,” he added.