05.03.202602:21:38UTC+00China Rises as Beijing Sets Softer GDP Target

The Shanghai Composite Index rose 0.5% to around 4,100 on Thursday, while the Shenzhen Component advanced 1.5% to 14,130, snapping a two-day losing streak. This rebound came despite Beijing announcing a lower economic growth target against a backdrop of persistent deflationary pressures and higher US tariffs.

China set its 2026 GDP growth target at 4.5%–5%, the lowest level since records began in the early 1990s. In its 15th Five-Year Plan, the government also pledged to step up investment in innovation, high-tech industries, and scientific research, while aiming to raise household consumption as a share of GDP.

Externally, mainland equities mirrored a recovery in global markets as inflation concerns eased, even as tensions between the US and Iran continued. Technology and power stocks led the advance, with notable gains in Biwin Storage Technology (13.2%), Eoptolink Technology (6.9%), Zhongji Innolight (5.4%), Shanghai Electric (10%), and China XD Electric (7%).