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Speakers:

Mr. Yan Dong, vice minister of commerce

Ms. Li Li, director general of the Comprehensive Department of the Ministry of Commerce (MOFCOM)

Ms. Yang Mu, director general of the Department of Market Operation and Consumption Promotion of MOFCOM

Mr. Yang Tao, director general of the Department of Foreign Trade of MOFCOM

Ms. Meng Huating, director general of the Department of Foreign Investment Administration of MOFCOM

Chairperson:

Ms. Jia Huili, deputy director general of the Press Bureau of the State Council Information Office (SCIO) and spokesperson of the SCIO

Date:

July 23, 2026

Jia Huili:

Ladies and gentlemen, good afternoon. Welcome to this press conference held by the State Council Information Office (SCIO). This is a regular briefing on China's economic data. We are delighted to be joined by Mr. Yan Dong, vice minister of commerce, to brief you on China's commerce work and performance in the first half of 2026, and then answer your questions.

Also present at today's press conference are Ms. Li Li, director general of the Comprehensive Department of the Ministry of Commerce (MOFCOM); Ms. Yang Mu, director general of the Department of Market Operation and Consumption Promotion of MOFCOM; Mr. Yang Tao, director general of the Department of Foreign Trade of MOFCOM; and Ms. Meng Huating, director general of the Department of Foreign Investment Administration of MOFCOM.

Now, I'll give the floor to Mr. Yan for his introduction.

Yan Dong:

Friends from the media, good afternoon. First of all, I would like to express my sincere gratitude for your continued interest in and support for commerce work. I am very pleased to have this opportunity to speak with you. Let me begin by introducing the overall performance of China's commerce development in the first half of the year.

Since the beginning of this year, under the strong leadership of the Central Committee of the Communist Party of China (CPC) with Comrade Xi Jinping at its core, we have resolutely implemented the decisions and arrangements of the CPC Central Committee and the State Council, thoroughly carried out the requirements to stabilize employment, enterprises, markets and expectations, effectively responded to external risks and challenges, and actively made efforts to boost consumption and stabilize foreign trade and foreign investment. As a result, commerce development has made steady progress, providing strong support for making a good start to the 15th Five-Year Plan period (2026-2030). This progress is reflected in the following four aspects:

First, the consumer market has expanded in both scale and quality. Focusing on the people's growing needs for a better life and following the trend of consumption upgrading, we have promoted both services and goods consumption and continued to unleash the vitality of the "Shopping in China" initiative. In the first half of the year, total retail sales of consumer goods and services increased by 2.7%. The service sector maintained strong momentum, with new growth drivers such as housekeeping and cultural and tourism services developing rapidly. Consumers showed a growing preference for spending on experiences and services, driving service retail sales up 5.3%. The quality of goods consumption also continued to improve, with greener and smarter products gaining popularity. In the second quarter, the retail penetration rate of new energy passenger vehicles reached a record high of 62.4%, while the consumer goods trade-in program boosted sales of digital and smart products by 13.4% in the first half of the year. Consumption scenarios became more diverse, with inbound and holiday consumption standing out as highlights. The number of inbound foreign visitors increased by 20.4% in the first half of the year. Consumption potential in lower-tier markets was further unleashed, with county and township-level markets accounting for 39.2% of total retail sales of consumer goods.

Second, innovation-driven development in foreign trade has accelerated. We have continued to foster new drivers of foreign trade growth, actively diversified international markets, and promoted more balanced trade development, making foreign trade more resilient and improving its structure. In the first half of the year, the total value of imports and exports of goods reached 25.5 trillion yuan, up by 16.9%, continuing to make a strong contribution to the national economy. Trade became more balanced, with the "Big Market for All: Export to China" series of events delivering positive results. Import growth outpaced export growth by 8.7 percentage points. New growth drivers gathered pace, with exports of high-tech products rising 39%. Trade in services also saw innovation-driven development, with service exports increasing 15.9% in the first five months of the year. Business vitality continued to strengthen. Private enterprises contributed nearly 60% of the increase in foreign trade during the first half of the year, while both foreign-invested enterprises and state-owned enterprises registered double-digit growth in imports and exports.

Third, the quality of foreign investment has continued to improve. Focusing on expanding new investment, stabilizing existing investment and improving investment quality, we have carried out the action plan to stabilize foreign investment for better performance and continued to make China a favored destination for foreign investment. In the first half of the year, the number of newly established foreign-invested enterprises increased by 5.3%, while actual foreign investment reached 402.14 billion yuan. The structure of foreign investment continued to improve, with investment in high-tech industries increasing 33.2% and accounting for 42.4% of the total. Foreign investors have remained confident in the Chinese market, with nearly 4,800 foreign-invested enterprises increasing investment in China during the first half of the year.

Fourth, new progress has been achieved in international economic and trade cooperation. We have remained committed to mutual benefits and win-win cooperation, actively participated in global economic governance, and promoted the building of an open global economy. In terms of outbound investment, we have steadily advanced international cooperation on industrial and supply chains. In the first half of the year, China's outbound non-financial direct investment reached 453.1 billion yuan, while the turnover of overseas contracted projects totaled 606.3 billion yuan, up by 8% year on year. In terms of multilateral and regional cooperation, we have upheld the multilateral trading system, promoted practical outcomes at the 14th Ministerial Meeting of the WTO, and hosted the APEC Ministers Responsible for Trade Meeting and issued the Suzhou Statement, contributing more Chinese solutions to global economic governance. In bilateral cooperation, under the strategic guidance of head-of-state diplomacy, China and the United States reached a series of new understandings through economic and trade consultations, injecting greater certainty and stability into the economies of both countries and the world. We have granted zero-tariff treatment on 100% of tariff lines to all 53 African countries that have established diplomatic relations with China, signed the framework agreement of China-Africa Economic Partnership for Shared Development with 38 African countries, and accelerated negotiations on upgrading free trade agreements with the Republic of Korea, Switzerland and other partners, sharing development opportunities and pursuing common development with countries around the world.

Since the beginning of this year, in accordance with the decisions and arrangements of the CPC Central Committee and the State Council, we have also been working diligently to advance the formulation and implementation of special plans related to the business field outlined in the 15th Five-Year Plan. Going forward, we will remain focused on high-quality development as our top priority, continue to enhance policy effectiveness, further strengthen the domestic economy, optimize domestic and international economic flows, and make new positive contributions to national economic development.

Next, my colleagues and I are ready to take your questions. Thank you.

Jia Huili:

Thank you, Mr. Yan. Now the floor is open for questions. Please identify the media outlet you represent before asking your question.