China's economy remained broadly stable in the first seven months of 2026, as the latest figures point to an economy that is gradually changing where its growth comes from – with advanced manufacturing, high-tech investment, services and inbound tourism becoming increasingly important drivers of growth momentum.

According to the National Bureau of Statistics (NBS) on Monday, the value-added industrial output rose 5.3% year on year from January to July as the industrial sector continued to see strong momentum from its advanced manufacturing sectors. Equipment manufacturing rose by 9.7%, while that of high-tech manufacturing increased 13.8%. Production of 3D printing equipment, lithium-ion batteries and industrial robots recorded particularly strong growth.

Investment presented a mixed picture. Fixed-asset investment – excluding rural households – fell 6.7% year on year in the first seven months. However, investment in intellectual property products increased 9.1%, and high-tech industries investment rose 5%.

Sun Xiao, chief statistician of the NBS Department of Industry, said new growth drivers contributed around half of the expansion in industrial output, up three percentage points from the first half of the year. The export delivery value of industrial enterprises also maintained double-digit growth in July, pointing to continued demand for Chinese manufacturing and the investment opportunities offered by the country's vast market, Sun said.

The country's foreign trade posted improved performance, with private enterprises accounting for a larger share of total trade. Total imports and exports of goods grew 17.3% yearonyear from January to July, with trade with countries participating in the Belt and Road Initiative (BRI) rising 15.5%. Private enterprise trade grew 17.2% yearly and accounted for 56.9% of overall trade. Mechanical and electrical products accounted for a higher share of exports, reflecting further optimization of China's trade structure.

China's consumption continued to expand, as retail sales of both consumer goods and services rose 2.6% year on year in the first seven months. Services and some forms of cultural spending are emerging as new growth drivers, pointing to stronger consumer demand for diverse, high-quality cultural experiences. As of August 17, China's summer movie box office surpassed 10 billion yuan (nearly $1.5 billion), according to box office data tracker Maoyan, while box office revenue from commercial stage performances grew 9.4%.

Policy measures are continuing to take effect, said Yuan Yan, chief statistician with the NBS Department of Trade and External Economic Relations, adding that retail sales of services have outpaced goods sales for three consecutive years, pointing to a broader shift toward a consumption mix that places greater emphasis on both goods and services.