- China's economy continues evolving toward innovation, services, and consumption, while maintaining export strength.
- Experts highlight new momentum from AI-led innovation and global supply chain realignments.
- Panel at AMNC25 in Tianjin underscores economic interdependence and pragmatism amid geopolitical volatility.
- For more information on the Annual Meeting of the New Champions 2025, visit wef.ch/amnc25 and share on social media using the hashtag #amnc25, or #2025夏季达沃斯#
Tianjin, People's Republic of China, 26 June 2025 - At a time of dynamic transformation and external complexity, China's economy remains a key driver of global growth. In a session titled China's Economy: Analysed, held at the Annual Meeting of the New Champions 2025, experts from academia, business, and policy highlighted how China is navigating macroeconomic headwinds and embracing structural shifts toward a more resilient, consumption- and innovation-led economy.
China met its 5% GDP growth target in 2024 and is on track for similar performance in 2025, driven by export competitiveness, growing private-sector activity, and increasing technological momentum. Against a backdrop of global challenges and trade frictions, "pragmatism still reigns," said Keyu Jin, Professor at Hong Kong University of Science and Technology. "There is an illusion of decoupling, but trade interdependencies remain deep."
Innovation, large-scale deployment, and AI-driven industrial transformation are positioning China for leadership in next-generation industries. This shift reflects more than just macroeconomic resilience; It illustrates how policy, industry, and talent are increasingly aligned to meet the demands of a rapidly evolving global economy.
Beyond trade flows and macro resilience, participants also underscored technological innovation, particularly in artificial intelligence, as a central force shaping China's growth trajectory. A new generation of open models and digital tools is driving scale-based, cost-effective innovation, underpinned by China's unique combination of advanced R&D, mass production capacity, and integrated supply chains. "AI+ will have a huge impact across the economy, not just in computing, but in every industrial sector," said Zhu Min, Member of the Senior Expert Advisory Committee at the China Centre for International Economic Exchanges.
As consumption becomes increasingly central to China's growth, technology and services are emerging as critical enablers. Eswar Prasad of Cornell University noted that while competition in green technologies and advanced manufacturing may present tensions, ongoing dialogue between China and the U.S. remains essential. "The question is how the two sides can declare victory without demanding concessions. It's difficult, but discussions at multiple levels give me hope," he said.
China's domestic consumption patterns are also evolving in ways that reflect a more discerning and dynamic consumer base. "I don't think Chinese consumers are trading down-they're trading smart," said Joseph Luc Ngai, Chairman for Greater China at McKinsey & Company. "They are navigating a competitive market with many quality substitutes, enabling them to maintain or even improve their lifestyles without spending more. In many cases, they're achieving a higher quality of life at equal or lower cost."
As the Chinese economy transitions from an investment and export-led model to one centred on domestic demand and services, experts agreed that boosting domestic consumption, advancing employment, and unlocking new productivity gains through innovation will be critical. "Increasing domestic consumption will require parallel efforts to expand employment opportunities and boost social spending on healthcare and education - and will help to create more harmonious relations between China and its trading partners," said Jin.
About the Annual Meeting of the New Champions 2025
The 16th Annual Meeting of the New Champions took place from 24 to 26 June 2025 in Tianjin, People's Republic of China, under the theme "Entrepreneurship for a New Era". The meeting convened over 1,700 leaders from business, government, civil society, academia, international organizations, innovation, and media to explore entrepreneurial solutions to global challenges.
