Beijing, 19 July 2026 – China’s economy is becoming increasingly divided between globally competitive technology and advanced manufacturing companies expanding overseas and a sluggish domestic market constrained by falling property values, cautious consumers and weakening investment.

The divergence became clearer after China’s economy expanded by 4.3% year-on-year during the second quarter of 2026, slowing from 5% in the preceding three months and recording its weakest quarterly growth since late 2022.

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Author

Rebecca Hsu
Rebecca Hsu is a Senior Economist and Lead Analyst for The Ledger Asia, focusing on the rapidly evolving financial landscapes of East and Southeast Asia. With a background in sovereign risk assessment and emerging market trends, Rebecca provides sharp commentary on trade dynamics, monetary policy, and the digital economy's impact on regional growth.
Formerly a strategic advisor for major financial institutions in Hong Kong, she excels at translating complex macroeconomic shifts into actionable insights for investors and policymakers. Her work at The Ledger Asia centers on China’s economic transition and the burgeoning manufacturing hubs of ASEAN, ensuring readers stay ahead of Asia’s shifting financial tides.