China Says It Will Increase Exports and Imports in 2026 to Support Stable Trade Growth

Post by : Saif

China has said it plans to expand both exports and imports in 2026 as it looks to build a more stable and sustainable trade system. The announcement came from a senior economic official during an important policy meeting in Beijing, according to state media.

Han Wenxiu, deputy director of the Central Financial and Economic Affairs Commission, said China will continue opening its economy and encourage cooperation with trading partners around the world. He explained that the goal is to grow foreign trade in a balanced way that supports long-term development rather than short-term gains.

China currently has a very large trade surplus, running into trillions of dollars. While this shows the strength of its manufacturing sector, it has also created friction with other countries. Global institutions, including the International Monetary Fund, have warned that China’s heavy focus on production and exports cannot last forever and may worsen trade disputes.

To address these concerns, Han said China will work to increase imports alongside exports. He also said the country will support service exports, such as digital services, tourism, and finance, starting in 2026.

The official highlighted several steps aimed at boosting domestic consumption. These include raising household incomes, increasing basic pension payments, and removing restrictions that limit consumer spending. Strengthening consumption is seen as key to reducing China’s dependence on export-led growth.

Han also repeated the government’s call to stop harmful price wars among companies. These price wars, often described as excessive competition, reduce profits and weaken the economy instead of helping it grow in a healthy way.

Earlier this week, the IMF urged China to make bold choices by slowing export growth and encouraging people to spend more at home. IMF Managing Director Kristalina Georgieva said China is now too large to rely mainly on exports for growth and that doing so risks increasing global trade tensions.

Economists warn that the gap between production and consumption in China could hurt the economy over time. While export growth has helped China expand quickly, experts say long-term stability depends on stronger consumer demand.

Chinese leaders also confirmed that a proactive fiscal policy will remain in place in 2026 to support spending and investment. Analysts expect the government to target economic growth of around 5% next year.

Overall, China’s plan signals a shift toward more balanced growth. The real test will be whether these policies can successfully strengthen consumption while keeping trade relations stable with the rest of the world.

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