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Global growth edges up but uncertainties persist amid trade negotiations

The IMF has raised its 2025 global growth forecast to three percent, citing easing inflation and resilient demand, though structural weaknesses remain. The eurozone, meanwhile, posted marginal 0.1 percent growth in Q2, weighed down by ongoing US tariffs. In China, attention will soon shift to October's upcoming Fourth Plenary Session, where policymakers are expected to signal new directions for reform. Themes such as "de-involution" and AI-driven talent realignment are gaining traction as China seeks to rebalance its economy. Recent tax data has also shed light on significant fiscal strength from 2021 to 2025—with over 85 trillion yuan (about $11.8 trillion) in revenue and 3.6 trillion yuan in tax and fee cuts—offering a window into Beijing's long-term growth strategy.

2025-08-05 15:46:26

China and EU reaffirm commitment to cooperation amid global uncertainty

The 25th China-EU Summit took place in Beijing this week as the two sides marked the 50th anniversary of diplomatic relations. Leaders pledged to deepen cooperation in trade, investment, and the broader economy, highlighting shared interests amid rising global uncertainties. Adding to the week’s key news, China announced that the Hainan Free Trade Port will officially launch island-wide independent customs operations on December 18 – a significant milestone in the country's pursuit in high-level opening-up. Meanwhile, the economic outlook across developing Asia has dimmed. Fresh reports from the Asian Development Bank and the International Monetary Fund have growth forecasts lowered for developing Asia, citing falling exports amid heightened US tariffs and continued global trade uncertainty.

2025-08-05 15:02:16

China's H1 GDP growth shows strong resilience, with banks increasing their projections

China's mid-year economic report has once again sent a positive signal to the world. The economy expanded by 5.3 percent in the first half of the year, exceeding expectations and prompting several major international banks to increase their full-year growth forecasts. Meanwhile, an expo showcasing new technologies and products from advanced supply chains is in full swing in Beijing. The expo attracted Nvidia's CEO Jensen Huang, who announced that the US chip giant would resume shipments of its H20 AI chip to China. Huang also praised China's rapid advancement in AI. Also this week, the latest report from the US Fed showed that economic activity had picked up in recent weeks, although the outlook was 'neutral to slightly pessimistic'. Read all about this, as well as the latest developments in "stablecoins" and the achievements of China's 14th Five-Year Plan, in our weekly newsletter.?

2025-08-05 17:10:53

US tariff delay deepens global economic uncertainty

The US has postponed its tariff pause till August 1, while simultaneously imposing additional tariffs on a number of nations, once again raising global economic unease. At the same time, a new 50% tariff on copper imports has been introduced, further unsettling supply chains and investor confidence. Meanwhile, China's economic expansion continues steadily, with its 2021-2025 growth projected to exceed 35 trillion yuan, driven by domestic innovation and industrial upgrades, an official said this week. This week, BRICS countries are also gathering to advance efforts on cross-border currency settlement, signaling stronger financial cooperation. While challenges remain, the initiative reflects a broader trend toward diversified global economic frameworks.

2025-08-05 14:59:53

From Astana to St. Petersburg: China-Eurasian cooperation powers a multipolar shift

From Central Asia to Russia and South Asia, China is strengthening its regional partnerships to help shape a more balanced and interconnected world. The 2nd China-Central Asia Summit, held from June 16 to 18 in the Kazakh capital of Astana, produced a raft of consensuses on strengthening China-Central Asian cooperation, with key areas ranging from infrastructure and trade, to regional development. Meanwhile, the 28th St. Petersburg International Economic Forum, themed "Shared Values: The Foundation of Growth in a Multipolar World," emphasized on building an effective system of equal and mutually beneficial international cooperation – a sentiment echoed by many participants amid shifting geopolitical dynamics. Further south, the ongoing 9th China-South Asia Expo in Kunming, southwest China, showcasing emerging industries and green innovation, reflects a shared push for inclusive growth and stronger regional connectivity between China and South Asian countries.

2025-08-05 15:49:36

China-US trade talks in London mark step toward stabilization

China and the US held the first meeting of its new trade and economic consultation mechanism this week in London. The talks were candid and constructive, covering bilateral and global economic issues, according to China's Ministry of Commerce. Chinese officials urged the US to address trade disputes through dialogue and cooperation rather than confrontation. International observers view the meeting as a positive signal of re-engagement, amid growing calls for global trade cooperation. European Central Bank President Christine Lagarde, in an exclusive interview with CGTN, called out tariff threats as creating uncertainty for the global economy, which puts a hold on many investment and development projects and dampens global growth expectations.

2025-08-05 15:32:36

Cooperation or isolation? China and the US provide exemplary answers

In this era of profound global uncertainty, cooperation, and mutual benefit have become the indispensable foundation for sustainable economic development. As the world's two largest economies, China and the US maintain interconnected economic relations — their respective economic trajectories significantly influence worldwide economic dynamics. On June 5, Chinese President Xi Jinping took a phone call from US President Donald Trump. Xi said dialogue and cooperation is the only right choice, and the two sides need to make good use of the economic and trade consultation mechanism already in place and seek win-win results in the spirit of equality and respect for each other's concerns.? Meanwhile, China and the EU held discussions this week to strengthen economic and trade cooperation. ? This raises a pivotal question for all nations: In pursuing economic growth, should countries retreat into isolation or actively foster diversified cooperation? The answer is unequivocal clear.

2025-08-05 15:32:42

On again, off again: US tariff pushing firms to hedge bets

The US and China – the world's two largest economies – remain inextricably linked, as trade fuels growth for businesses and consumers alike. Recent Geneva talks triggered a US buying spree, straining shipping capacity and underscoring enduring demand. Yet, challenges persist. American firms face whiplash from unpredictable trade policies, while Chinese exporters pivot to new markets, adapting to tariff threats. Meanwhile, China is strengthening ties with the Association of Southeast Asian Nations (ASEAN) and the Gulf Cooperation Council (GCC), advocating collaborative, equitable trade frameworks. Amid global protectionism, the lesson is clear: commerce persists despite political turbulence. The task ahead? Ensuring those vital pathways stay open.

2025-08-05 16:52:11

China's economy in focus: Resilience, reform, and global cooperation

From solid April data to legislative milestones in the private sector, China's economy is charting a course marked by both stability and transformation. China's value added industrial output rose 6.1% year-on-year in April, with retail sales and fixed-asset investment also posting steady gains, National Bureau of Statistics data showed. Analysts say the numbers reflect resilient domestic demand and strong policy support as key drivers of the recovery. Meanwhile, a landmark law aimed at bolstering China's private sector took effect on Tuesday, codifying principles of equality and fair competition in a bid to address long-standing concerns among entrepreneurs. On the global stage, the China-CEEC Expo opened this week in Ningbo, Zhejiang Province, showcasing cutting-edge technologies, AI innovations, and green solutions—underscoring China's expanding partnerships with Central and Eastern European countries. Together, these developments offer a snapshot of a steadily evolving economy.

2025-08-05 16:51:32

China-US economic and trade meeting in Geneva: Easing tensions amid global uncertainty

China and the United States released a joint statement on Monday following their economic and trade meeting in Geneva. According to the statement, the two nations agreed to eliminate 91 percent of existing tariffs and suspend 24 percent worth of tariffs announced following April 2 for an initial 90-day period, leaving the remaining 10 percent in place. During the meeting, both sides also agreed to establish a mechanism for continued dialogue on their trade and economic relations. In parallel with the diplomatic outreach, China has also stepped up efforts to revitalize its domestic market. On May 15, China's National Development and Reform Commission held a symposium with private firms to gather opinions on current economic conditions. China is also implementing a 0.5 percentage point reduction in the reserve requirement ratio (RRR) for eligible financial institutions, injecting roughly 1 trillion yuan (about $139 billion) of long-term liquidity into the financial market.

2025-08-05 14:51:49

China bolsters private sector and trade resilience amid global uncertainty

China is stepping up efforts to empower its private sector, with a landmark law that aims to provide legal guarantees for private enterprise development and encourage deeper participation in major national projects. The law emphasizes equal treatment to public as well as private entities, with a strong focus on institutional support and innovation. Private enterprises remain a key pillar of China's economic growth, accounting for over half of the nation's total foreign trade volume in the first four months, as per official data released on Friday. China has also unveiled a broad financial stimulus package—featuring interest rate cuts and lowered bank reserve requirements—to boost liquidity, stabilize the market, and restore momentum in key sectors like real estate and exports. On the global front, meanwhile, China and Russia are deepening institutional cooperation, with their joint innovations seen as contributing to a more dynamic and multipolar global economy.

2025-08-05 16:14:47

New law boosts China's private sector, while May travel surges and Dollar faces challenges

China's 2025 May Day holiday is experiencing a notable travel surge, with cross-regional trips reaching about 1.42 billion, a 4.5 percent year-on-year increase. This travel boom encompassed both domestic and international tourism, with inbound tourism growth partly due to China's expanded visa-free policies. Forecasts indicate China's global tourism revenue might exceed $500 billion annually by 2033. China passed its first national private sector promotion law this week, effective May 20, 2025. It aims to boost private businesses through fair market access, improved investment conditions, and legal rights protection. Globally, the US dollar faces challenges to its dominance due to fiscal indiscipline, political pressure on the Federal Reserve, and financial weaponization, threatening its long-term status as the world's primary reserve currency.

2025-08-05 16:19:10

China readies for economic headwinds as US tariffs dent global growth

The Political Bureau of the Communist Party of China (CPC) Central Committee held a meeting on Friday to analyze and study the current economic situation and economic work. It was noted that China has seen its economy improve this year. The foundation for China's sustained economic recovery needs to be further consolidated, and the country faces increasing impact from external shocks, the meeting said. The meeting urged preparing for worst-case scenarios with sufficient planning, and taking concrete steps to do a good job in economic work. The global economic landscape has been significantly disrupted by the US tariff policies. Apart from adversely impacting America's own economy, the tariffs have increased worldwide trade uncertainty. The International Monetary Fund (IMF) has slashed its global growth forecast for 2025, mainly because of the escalating trade tensions caused by US tariffs.

2025-08-05 16:26:10

China-ASEAN unity reinforced: Presidential visits deliver momentum for shared prosperity?

Chinese President Xi Jinping on Friday concluded his state visit to Vietnam, Malaysia and Cambodia this week. The visits with fruitful results have strengthened China's relations with the three countries and injected new momentum into building a community with a shared future among neighboring countries. Asia has driven global growth over the past decade, sustaining stability despite rising protectionism and geopolitical tensions. A key factor is China's win-win cooperation with regional economies, particularly ASEAN. This partnership fosters shared prosperity, contrasting sharply with zero-sum policies, and underscores Asia's resilience through constructive economic integration.

2025-08-05 16:58:54

China won't back down from US tariff bullying

The US-China tariff dispute has intensified dramatically over the past week. The White House announced that cumulative US tariffs on Chinese goods have now reached 145%, while China retaliated this week by imposing 125% duties on US imports. "If the US insists on a tariff war, China will fight to the end," declared a Foreign Ministry spokesperson on Thursday, vowing to defend national interests and uphold the multilateral trading system.

2025-08-05 15:59:03

Asia's ascent: How US tariffs are reshaping global investments

As US tariffs shake global markets, investors are turning to Asia, drawn by currency gains, strong corporate earnings, and regional stability. While the US stock slump has led to speculation about trade policy uncertainties, analysts suggest that Asia's improving fundamentals and supportive policy measures could make it an increasingly attractive destination for global capital in the months ahead. The region's resilience and growing cooperation are set to make it a key investment hub.

2025-08-05 16:23:30

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