Our PERSPECTIVES Special, 'China’s 4th Plenum and 15th five-year plan: Sectoral signals for 2026' explores how the country is shifting its focus from rapid expansion to high-quality, innovation-driven growth, signalling a new era for both domestic and global stakeholders. Dive into this report to understand the sectoral signals, investment implications, and the strategic priorities shaping China’s next chapter.
Key takeaways
- China’s new five-year plan signals a strategic transformation – prioritising innovation, technological self-reliance, and green, inclusive growth. This approach aims to position China as a global leader in advanced industries while addressing environmental and social challenges for sustainable, long-term prosperity.
- Despite ongoing fiscal support focused on infrastructure and technology, a gradual shift toward consumption and social spending, and the impact of weaker external demand from trade tensions with the US and Europe, the supply-oriented policy framework is expected to maintain a persistent supply-demand imbalance, making nominal GDP growth below 4% likely in 2026.
- Amid these shifts, certain sectors stand out as particularly well positioned to benefit from China’s evolving policy landscape. China tech, green energy and consumer discretionary remain our top sector picks to ride the China policy and tech wave.
