China Unveils New Policy Package to Boost Growth and Expand Opening-Up, Strengthening Foreign Investment and Industrial Upgrading

On April 18, 2026, China’s State Council, together with relevant government agencies, introduced a comprehensive policy package aimed at stabilizing economic growth and advancing high-level opening-up. The measures include further easing market access in the manufacturing sector, expanding pilot programs for opening the services industry, and enhancing tax incentives and investment facilitation for foreign enterprises. The policy framework also emphasizes improving the overall business environment, broadening the catalogue of encouraged foreign investment industries, and promoting greater participation of overseas capital in sectors such as green energy, semiconductors, and advanced manufacturing.

On the same day, authorities underscored the need to utilize targeted structural policy tools to sustain growth while guarding against systemic financial risks. Economists suggest that, amid weakening global demand and ongoing supply chain realignment, the initiative is designed to reinforce China’s central role in global manufacturing and investment networks, with potentially significant implications for international capital flows and the broader regional economic landscape.