China Announces New Foreign Investment Policies to Drive Economic Restructuring

On February 18, 2026, the State Council of China unveiled a set of new policies aimed at attracting foreign investment to support the country's economic restructuring. The policies focus on improving the business environment and reducing market entry barriers, with specific emphasis on attracting investment in advanced manufacturing, green energy, and digital transformation. The government also introduced tax incentives and measures to streamline investment processes.

Additionally, China plans to further open its financial markets to allow greater foreign access to its capital markets, promoting technological innovation and industrial upgrading. These measures are seen as a response to global economic uncertainties, aimed at ensuring sustained economic growth and enhancing China’s role in global supply chains.