TL;DR
Li Qiang emphasizes stabilizing the economy while pursuing quality growth through technological self-reliance amid global volatility.
Key Points
He announced a GDP growth target of 4.5 to 5 percent for 2026 during the opening of the National People's Congress on March 5, 2026.
China's GDP grew by 5 percent in 2025, according to the government work report delivered by Premier Li Qiang.
The work report indicated plans to expand defense spending by 7 percent for 2026, the lowest rate in five years.
Summary
Li Qiang, in his government work report at the opening of the National People's Congress, outlined China's economic priorities, noting that the nation's GDP had surpassed 140 trillion yuan in 2025, achieving an average annual growth of 5.4% over the preceding five years. He underscored that the economy has weathered external shocks and maintained overall stability. The Premier's report set the gross domestic product (GDP) growth target for 2026 at a more conservative 4.5 to 5 percent, a figure below the previous "around 5 percent" target and reflecting a recognition of ongoing economic challenges such as property sector weakness and weak consumer confidence.
This shift in target signals a move away from a 'number-first' mindset toward prioritizing 'quality-first' development, which entails delivering more tangible results like household income growth and better public services. Furthermore, the focus includes continued state support for advanced industries like integrated circuits and biomedicine, aiming for greater industrial self-reliance while navigating political headwinds. Defense spending was also set to increase by 7 percent, marking the lowest rate in five years.
Frequently Asked Questions
Li Qiang's primary economic focus, as articulated in his government work report, is achieving stability while shifting toward 'quality-first' development. This involves ensuring tangible economic results like growth in household income rather than just raw growth numbers.
Premier Li Qiang presented the 2026 GDP growth target at the National People's Congress as being between 4.5 and 5 percent. This target is notable as it is set below the 'around 5 percent' goal previously used.
Li Qiang stated that China's economy successfully weathered external shocks, which helped stabilize the overall economy. He noted that the economy achieved an average annual growth of 5.4% over the last five years.
Sources4
China's economy reaches new heights over the past five years
China economic growth target set below 5% for the first time at key meeting
China weathered external shocks, stabilized overall economy
China makes stability top task in volatile world shook by Trump
* This is not an exhaustive list of sources.