China’s provincial governments have unveiled their economic growth targets for 2026 during their annual “two sessions,” outlining plans to support consumption, accelerate innovation, and strengthen key industries as the country seeks to stabilise growth amid a changing policy environment.
The targets, announced ahead of the national legislative meetings, mostly range between 4.5 percent and 5.5 percent, with some regions setting higher goals. The announcements matter because provincial targets provide early signals of China’s broader economic direction and shape investment, employment, and industrial policy at the local level.
The capital, Beijing, has set a GDP growth target of about 5 percent for 2026, while aiming for average annual growth of 4.5 to 5 percent between 2026 and 2030. Guangdong, China’s largest provincial economy, is targeting growth of 4.5 to 5 percent in 2026, with an average of around 5 percent over the next five years. Zhejiang has set a 2026 target of 5 to 5.5 percent.
Some regions have set higher benchmarks. Hainan has targeted GDP growth of around 6 percent in 2026, following the launch of island-wide special customs operations at the Hainan Free Trade Port in late 2025. The Xizang Autonomous Region is aiming for growth of more than 7 percent.
Consumption and services in focus
Across provincial work reports, boosting domestic demand has emerged as a common priority, echoing guidance from the Central Economic Work Conference held in December 2025. Local governments have pledged measures to upgrade consumption, expand service industries, and cultivate new growth areas.
Beijing said it will step up policy support for education, healthcare, elderly care, and childcare services, while encouraging digital platforms to expand home-service offerings. Other regions highlighted sectors such as marine tourism and the ice-and-snow economy as new drivers of consumption.
Hainan announced plans to designate 2026 as a “Marine Tourism Year,” aiming to increase total tourist visits by about 8 percent and attract more inbound travellers. Northeastern provinces, including Heilongjiang, Jilin and Liaoning, said they will further develop ice-and-snow sports and tourism to support regional growth.
AI and advanced industries highlighted
Innovation and advanced manufacturing featured prominently in provincial plans. Beijing pledged to fully implement its “AI Plus” initiative in 2026 and establish a national pilot base for artificial intelligence applications. The city also aims to keep research and development spending above 6 percent of GDP between 2026 and 2030, according to its five-year plan.
Zhejiang, home to several major AI developers, said it will expand AI application scenarios and target more than 20 percent revenue growth in its core AI industry, projecting output of over 800 billion yuan in 2026. Other provinces also emphasised the role of high-tech sectors such as new energy vehicles, integrated circuits, biomedicine, and robotics.
Industrial upgrading remains a priority
Building a modern industrial system is another recurring theme. Guangdong said it will accelerate the upgrading of traditional sectors such as electronics and machinery, while scaling up emerging industries including new energy, smart vehicles, and integrated circuits. The province also plans to invest in future technologies such as 6G, quantum technology, and brain-computer interfaces.
Zhejiang outlined plans to develop industrial clusters in new materials, aerospace, low-altitude economy, and biomedicine, alongside future-oriented sectors such as humanoid robots and quantum information. Henan, targeting around 5 percent growth in 2026, said it will focus on advanced manufacturing clusters and emerging industries.
Officials said these strategies are intended to strengthen the real economy and enhance long-term competitiveness as China navigates a more challenging domestic and global economic environment.
Today's E-Paper