This episode contains segments on:
- China’s January-June 2026 foreign direct investment (FDI);
- China’s January-June 2026 industrial profits;
- China adds 14 EU entities to its export control list; and
- European Parliament Committee on Foreign Affairs visits China.
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Read more:
China’s January-June 2026 foreign direct investment (FDI)
https://mo.mofcom.gov.cn/tjsj/ndtzsj/art/2026/art_703f2e0b79944b238638aa1024bf1613.html
China’s January-June 2026 industrial profits
https://www.stats.gov.cn/sj/zxfb/202607/t20260727_1964194.html
https://www.stats.gov.cn/sj/sjjd/202607/t20260727_1964193.html
China adds 14 EU entities to its export control list
https://www.mofcom.gov.cn/zcfb/zc/art/2026/art_439d72e1f12d414aa381260ef304b6aa.html
https://www.mofcom.gov.cn/syxwfb/art/2026/art_4415765208fc48fa979c3c0d25b1b9b7.html
European Parliament Committee on Foreign Affairs visits China
https://www.mfa.gov.cn/eng/wjbzhd/202607/t20260723_11990191.html
https://mp.weixin.qq.com/s/AeGw-pr8kN87C-8Vdg4nHQ
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 29th July 2026.
(MUSIC)
RUI: Data published by the Ministry of Commerce on 24th July shows that China attracted 402.14 billion yuan of foreign direct investment, or FDI, between January and June 2026, a year-on-year decrease of five per cent. Of this figure, 105.03 billion yuan of FDI flowed into the manufacturing sector, while China’s service sector attracted 289.62 billion yuan of FDI.
XINHE: FDI inflows into high-tech industries increased sharply by 33.2 per cent year-on-year to stand at 170.33 billion yuan, accounting for 42.4 per cent of all FDI attracted by China during the first six months of 2026.
RUI: FDI relating to R&D and design services; computer and office equipment manufacturing; and electronic and communication equipment manufacturing all also saw strong growth, increasing by 82 per cent, 52 per cent and 29 per cent year-on-year respectively.
(MUSIC)
RUI: Profits at larger industrial firms in China—those with an annual revenue of at least 20 million yuan—increased by 18.7 per cent during the first half of 2026, according to data published by the National Bureau of Statistics on 27th July.
XINHE: A sharp increase in profits at larger mining and manufacturing firms was recorded, with bottom lines increasing 33.5 per cent and 20.1 per cent on average respectively. By contrast, profits at larger firms operating in the electricity, heat, gas and water production and supply segment of the economy fell by 4.2 per cent year-on-year during the first half of the year.
RUI: Commenting on the data, Yu Weining, a statistician at the National Bureau of Statistics noted that despite a rise in overall profits being recorded, challenges remain, including the increasingly uncertain international environment, volatile commodity prices and weak domestic Chinese demand.
(MUSIC)
RUI: On 24th July, China’s Ministry of Commerce announced it had added 14 European entities to the country’s export control list. The move bans exporters from exporting dual-use items to the listed entities, and prohibits foreign organisations and individuals from transferring or providing dual-use items originating in China to them.
XINHE: A spokesperson for the Ministry of Commerce said the measure had been taken in response to EU’s decision to sanction 14 enterprises from the Chinese mainland and Hong Kong, as part of the bloc’s 21st sanctions package issued against Russia.
RUI: Commenting on the development, EU Commission spokesperson Paula Pinho said the Commission was analysing China’s newly announced measures and would liaise with both member states and the impacted companies accordingly.
(MUSIC)
RUI: From 21st to 23rd July, a delegation from the European Parliament’s Committee on Foreign Affairs, led by Chair of the Committee David McAllister, visited China to meet with counterparts including China’s Foreign Minister Wang Yi. According to an official EU readout, several issues of strategic importance to the EU were discussed during the talks, including the geopolitical implications of the bloc’s growing trade imbalance with China, Russia’s war of aggression against Ukraine, the human rights situation in China, and peace and stability in the Indo-Pacific region.
XINHE: On 21st July, European Chamber Vice-President Stefan Bernhart, met with the Parliament delegation to brief them on key economic and regulatory developments of note for European companies in China. He also recommended measures to the delegation that EU policymakers could take to better preserve Europe’s strategic industries and competitiveness, while also continuing to engage with China.
(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.
RUI: Listen to the full episode on our WeChat account or your preferred podcast platform.