This episode contains segments on:
- China’s July macroeconomic data;
- China’s January-July urban fixed asset investment;
- Chinese Premier chairs State Council plenary meeting; and
- The EU’s Packaging and Packaging Waste Regulation (PPWR) enters into general application
Listeners are also invited to join a series of case-sharing events, at which winners of its 2025 Sustainable Business Awards will share their insights.
Contact:
We’d love to hear your feedback. Contact us at website@europeanchamber.com.cn.
Follow the European Chamber on LinkedIn, X, WeChat (europeanchamber), and sign up for our newsletter here, to get notified on new episodes.
Read more:
China’s July macroeconomic data (NBS)
https://www.stats.gov.cn/sj/zxfb/202608/t20260817_1965055.html
https://www.stats.gov.cn/sj/zxfb/202608/t20260817_1965052.html
https://www.stats.gov.cn/english/PressRelease/202608/t20260817_1965057.html
China’s January-July urban fixed asset investment
https://www.stats.gov.cn/sj/zxfb/202608/t20260817_1965054.html
https://www.stats.gov.cn/english/PressRelease/202608/t20260817_1965057.html
https://www.stats.gov.cn/sj/sjjd/202608/t20260817_1965064.html
Chinese Premier Li Qiang chairs State Council plenary meeting
https://english.www.gov.cn/news/202608/17/content_WS6a831608c6d00ca5f9a0ca89.html
The EU’s Packaging and Packaging Waste Regulation (PPWR) enters into general application
https://environment.ec.europa.eu/news/new-eu-rules-packaging-enter-application-2026-08-11_en
The European Chamber’s Sustainable Business Awards Event Series
Transcript:
RUI: Hello and welcome to China ShortCuts,
XINHE: the European Chamber’s weekly catchup on China’s business landscape.
RUI: This episode was recorded on 19th August 2026.
(MUSIC)
RUI: Data published by the National Bureau of Statistics—or NBS—on 17th August, shows that industrial production among larger firms in China—those with an annual income upwards of 20 million RMB per annum—grew by 4.5 per cent year-on-year in July, down from 5.3 per cent in June.
XINHE: The manufacturing sector recorded the highest relative growth rate among all sectors surveyed, at 5.5 per cent year-on-year, a fall from 6 per cent in June. The production and supply of electricity, heat, gas and water increased 5 per cent year-on-year, while the value-added of the mining industry fell by 4.2 per cent year-on-year.
(MUSIC)
RUI: The total value of retail sales in China grew by 0.6 per cent year-on-year in July to 3.9 trillion CNY, according to data released by the NBS on 17th August, a slowdown relative to the 1 per cent growth rate recorded a month earlier.
XINHE: A decline in sales of automotive vehicles—which fell by 17 per cent year-on-year in July—as well as in sales of building and decoration materials—which fell by 14.2 per cent year-on-year—contributed to the decrease.
The slowdown can be partly explained by the launch of the consumer trade-in scheme, first introduced in 2024 as a means to stimulate China’s economy. By subsidising purchases of consumer goods, the scheme has encouraged consumers to replace older goods with newer and more advanced options. This effectively frontloaded demand, with the positive impact this has had on sales now having been exhausted for many product categories.
(MUSIC)
RUI: Urban fixed asset investment in China totalled 26.03 trillion yuan between January and July 2026, a contraction of 6.7 per cent year-on-year, according to NBS data released on 17th August.
XINHE: The decline was predominantly driven by a decline in real estate development-related investment, which fell sharply by 19.2 per cent year-on-year. Urban fixed asset investment in infrastructure and manufacturing also fell, albeit at the more modest rate of 3.6 per cent and 1.7 per cent year-on-year respectively.
(MUSIC)
RUI: On 17th August, Chinese Premier Li Qiang chaired a State Council plenary meeting, at which he noted that China’s economy has remained generally stable, with the emergence of new economic growth drivers, as well as improvements to its overall structure. At the same time, Premier Li noted that insufficient domestic demand remains an issue, while the external environment has become more uncertain.
XINHE: Premier Li also noted that, to meet its development goals, China should make full use of existing policies while promptly rolling out practical and effective new policies. Echoing the 15th Five-year Plan, he highlighted the need to boost domestic consumption, while ensuring that overseas demand for Chinese goods remains stable and that the country “maintain[s] balanced trade development”. The Premier also stressed the importance of ensuring that China maintains stable employment, increases its citizens’ income levels and improves its public services.
RUI: This is in line with the Chamber’s recommendations, which has long called for the Chinese government to take action to address underlying structural headwinds facing China’s economy, as well as to achieve a more balanced trading relationship with key trade partners, including the European Union.
(MUSIC)
RUI: On 12th August, the EU’s Packaging and Packaging Waste Regulation—or PPWR—entered into general application.
XINHE: The PPWR introduces new requirements that cover the entire life cycle of packaging, regardless of the material used or its purpose of origin, be it for industrial, retail or household-related purposes. The new requirements include restrictions on per- and polyfluoroalkyl substances (PFAS) above a certain threshold being used in food-contact packaging placed on the EU market, as well as on the use of certain single-use plastics.
RUI: The PPWR applies to exporters from all non-EU countries. If standards in the country of origin are not aligned with the PPWR, then this will likely result in an increase of costs for exporters. The regulation might even result in supply chain disruptions and/or cost increases for certain items that are impacted.
(MUSIC)
RUI: The European Chamber’s Shanghai Chapter will hold a series of case-sharing events, between late August and early September, at which winners of its 2025 Sustainable Business Awards will share their insights. Topics covered will range from how businesses can achieve sustainable governance and drive the creation of more sustainable value chains, to how social impact initiatives can strengthen employee engagement.
XINHE: Join us in person at the Chamber’s Shanghai office to learn from leading companies’ own experiences.
(MUSIC)
XINHE: Thanks for listening, and don’t forget to tune in again next week.
RUI: In the meantime, please find useful links in the episode notes.