Hailed by international media as a testament to China’s manufacturing strength and comprehensive local supply chain, the victory highlights a larger reality: as global economic turbulence intensifies, China’s manufacturing sector is proving its resilience and capacity for high-quality growth.

FROM BIG TO STRONG

Having maintained its position as the world’s largest manufacturing hub for 16 consecutive years, China has fortified its key industrial and supply chains to become more resilient, providing strong support for weathering major risks.

The country’s 15th Five-Year Plan (2026-2030) has made moving faster to boost its strength in manufacturing a central task, calling for maintaining a reasonable share of manufacturing in the economy and building a modern industrial system led by advanced manufacturing.

According to the Ministry of Industry and Information Technology, during the 2026-2030 period, the country will shore up weak links, strengthen competitive edges and seize early-mover advantages, with the goal of moving from key breakthroughs to all-round advantages.

Xin Yongfei, an expert with the China Academy of Information and Communications Technology, noted that China’s manufacturing sector already has the scale and innovation foundation.

During the 15th Five-Year Plan period, he said, maintaining strategic focus and concentrating on crucial areas will allow China to leap from “following” to “running alongside” and even “leading,” laying a solid foundation for basically achieving new industrialization.

Local governments have also rolled out concrete plans: Hunan Province in central China will implement landmark projects for an advanced manufacturing highland, Shanghai in east China aims to build the “Made in Shanghai” brand, and southwest China’s Chongqing Municipality is pushing to become a strong manufacturing city.

CORE-RESHAPING INNOVATION

In Beijing’s Yizhuang District, also known as E-town, humanoid robots can be seen training for a half-marathon. Many of them can now run at speeds of up to six meters per second, rivaling the pace of professional athletes.

This leap mirrors a broader push toward higher-end, smarter and greener manufacturing. The 15th Five-Year Plan outlines a series of concrete steps: improving manufacturing quality, boosting the resilience of industrial and supply chains, and achieving breakthroughs in core technologies.

One telling example is the recent release of China’s domestically developed T1200-grade ultra-high-strength carbon fiber, now the strongest industrially produced carbon fiber in the world.

“Thanks to this technological breakthrough, our domestically produced large aircraft will be lighter, deep-space exploration can go farther, and new energy vehicles will have longer range. It provides a stronger ‘skeleton’ for future industries,” said Chen Qiufei, the R&D lead.

Meanwhile, companies are shifting from selling hardware to offering integrated solutions. DJI, known for its drones, now provides agricultural plant protection solutions, with related service revenue accounting for more than 30 percent of its total.

Similarly, Chinese battery maker Sunwoda has built a six-dimensional maglev production line and a digital twin system to improve its own manufacturing efficiency, and is now exporting smart manufacturing solutions to others.

The results are visible in the data. In the first two months of 2026, the value-added output of high-tech manufacturing enterprises grew 13.1 percent year on year, while that of equipment manufacturing rose 9.3 percent.

The “AI plus manufacturing” initiative has been implemented, with the adoption rate of AI technology among major manufacturing firms exceeding 30 percent. Meanwhile, more than 8,300 green factories have been established nationwide.

MORE OPEN LANDSCAPE

At the same time, China’s manufacturing sector is opening up further. In Zhanjiang, south China’s Guangdong Province, German chemicals giant BASF’s massive production complex, known as a Verbund site, has started production, marking the largest single investment project wholly owned by a German enterprise in China.

Thousands of miles away in Tatabanya, Hungary, Chinese heavy machinery manufacturer Zoomlion’s first European smart factory has opened, providing a stable and efficient product supply and better localized services for European customers.

All foreign investment restrictions in the manufacturing sector have been lifted in China. In the first two months of this year, China’s exports of high-tech and high-value-added mechanical and electrical products reached 2.89 trillion yuan (about 418.9 billion U.S. dollars), up 24.3 percent year on year.

As China navigates an increasingly volatile world, its manufacturing sector is actively integrating into global markets, offering vast cooperation opportunities for the world.

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Liu Dongmei, Party chief of the Chinese Academy of Science and Technology for Development, made the remarks during the latest episode of China Economic Roundtable, an all-media talk show hosted by Xinhua News Agency.

She suggested strengthening the leading role of enterprises, especially tech-leading firms, and enhancing their capacity to coordinate with upstream and downstream companies, universities and research institutes to jointly advance the integration of technological and industrial innovation.

Resources allocated to key stages of technology transfer within enterprises, especially small and medium-sized enterprises (SMEs), are sometimes insufficient, leaving many research outcomes confined to papers and laboratories. Liu called for greater efforts to help such enterprises build stronger technology transfer capabilities.

She also proposed establishing an evaluation system centered on market demand and industrial value, aiming to remove bottlenecks that hinder the integration of technological and industrial innovation.

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On April 1, 2017, China announced plans to establish the new area in north China’s Hebei Province, to relieve Beijing of functions non-essential to its role as the national capital and advance the coordinated development of the Beijing-Tianjin-Hebei region.

Over the past nine years, more than 400 branches of state-owned enterprises have set up operations in Xiong’an, alongside over 200 companies in fields such as aerospace information, artificial intelligence, and digital technology.

This February, the State Council approved the upgrade of the Xiong’an high-tech industrial development zone to a national-level zone, calling for deeper integration of sci-tech and industrial innovation while attracting high-end innovation resources from home and abroad.

“Xiong’an gives us not just policy support, but real, attentive service,” said Zhang Tianyang, co-founder and CEO of Stable AI. “We feel a genuine commitment to growing together. It’s the ideal place to start.”

INNOVATION VITALITY, WARM SERVICES

For Stable AI, a startup established in Xiong’an in October 2024 by researchers from Tsinghua University in Beijing, the new area has provided the comprehensive support a young company needs.

“What startups need most is the first round of investment. The first 20 million yuan (about 2.9 million U.S. dollars) arrived in less than three months, during which we completed the entire process from initial contact to due diligence, valuation and payment in Xiong’an. The efficiency exceeded our expectations,” said Zhang.

“The AI industrial park is more than just office space. It’s an accelerator that supports companies through every stage, from incubation to growth and expansion,” noted Lu Hao, deputy general manager of China Xiong’an Group City Development Company.

The park provides systematic support in services, application scenarios, nearly rent-free office space, low-cost computing, shared R&D platforms and a full-chain funding system.

“Since we moved in, the park has assigned staff to explain policies to us regularly — everything from housing to commuting,” said Zhu Yu, an employee at Stable AI. “We learned about residency and home-buying policies through these lectures. Some of my colleagues plan to buy houses and settle here.”

Unlike large language models, Stable AI’s large data model, LimiX, focuses on structured data like tables, time series and graphs. It analyzes causal relationships to deliver precise insights and trend predictions with strong industry applications.

Since its landing, Xiong’an has helped the company connect with industrial partners. A local energy firm employed the model to optimize gas purchasing. Using historical sales, heating data and weather information, the model predicts annual gas demand, helping the company control costs. Forecast accuracy rose to 93 percent, compared with 76 percent achieved by human forecasters.

In just a year and a half, the company has grown from fewer than 10 employees to over 60. It has been involved in several smart city projects as the new area gradually opens up data flows to businesses, including a flood control system. Its model is now being tested for application in more than 40 industrial scenarios.

“We will continue to advance the upgrade and iteration of LimiX, fully empowering the intelligent transformation of various industries,” Zhang added.

SMART CITY CULTIVATES FUTURE INDUSTRIES

In April 2021, China Satellite Network Group Co., Ltd. became the first central SOE to establish its headquarters in Xiong’an. Since then, these relocated SOEs have attracted upstream and downstream companies, forming a vibrant science and technology innovation cluster in the new area.

“Xiong’an is building a smart city from scratch, which gives startups plenty of room to grow,” said Li Qiang, founder of Huaqing Zhiyan, an AI agent company in Xiong’an. “There are also many large SOEs relocated from Beijing. They anchor the industrial cluster. Elsewhere, it would be nearly impossible for a startup like ours to partner with them.”

Huaqing Zhiyan’s AI agents are already being used in projects involving China Satellite Network, including satellite-based farmland imaging, crop monitoring and agricultural insurance assessment.

As this smart city takes shape and more researchers move in, flexible computing power has become a growing need.

“Traditional computing services are usually sold on a monthly subscription basis, which makes it hard to meet flexible demand,” Li explained. “But our AI agents are connected to a computing dispatch platform. Even a researcher who only needs a small amount of computing power can use it on demand, and pay only for what they use and stop anytime.”

This example shows that as Xiong’an advances towards constructing a high-standard smart city, and generating significant opportunities for AI and other future industries, innovators are stepping forward to offer technical support that facilitates researchers relocating to the city, thereby fostering a virtuous cycle of growth and development.

Since arriving in Xiong’an in early 2025, Huaqing Zhiyan has seen rapid growth. Its contract value rose from 3 to 4 million yuan when it first set up in July 2024 to 26 million yuan by the end of 2025, with more than one-third of that coming from local projects in Xiong’an.

Li is confident about further growth and is already working on the company’s next technological step.

“As people use AI agents for more tasks, data security will become increasingly important,” he said. “That’s why we’re partnering with our neighbor tech company. In the future, we plan to integrate encryption modules into agent decision-making, ensuring tasks are processed securely and results are safely returned, providing full protection for users’ data and information.”

GREEN DEVELOPMENT IMPROVES LIVELIHOODS

Since its establishment, Xiong’an has prioritized ecology and green development, laying a solid foundation for an eco-friendly future city. Improved ecological conditions have also elevated local villagers’ quality of life.

In Mapu Village, near Baiyangdian Lake, clear water, reeds and trees form a pleasant landscape. Dozens of RVs are parked in the woods. Liu Liqing, 56, grows morel mushrooms in greenhouses and enjoys leisure time by the village pond.

“In the past, it was a fetid, stagnant pond teeming with mosquitoes. People stayed away from it,” Liu recalled.

Since 2019, Xiong’an has embarked on a comprehensive initiative to treat rural sewage, garbage, and toilet waste in the vicinity of Baiyangdian Lake. Eighty-nine sewage treatment stations were built in 78 villages, purifying domestic wastewater to meet Grade IV standards suitable for industrial and recreational applications.

The facilities in Mapu Village alone cater to the needs of over 10,000 residents, providing 400 to 500 tonnes of purified water used daily for irrigation of morels, tomatoes and strawberries. The once-malodorous pond has become a clean waterscape within an ecological park.

Better ecology has boosted incomes. Liu Chuanghui, village Party secretary, said villagers once grew corn on limited land with an annual per capita income of around 1,000 yuan, and now the village runs a morel planting base and an RV campsite.

“Tourists come here for fishing, barbecues and RV stays,” Liu said. The village earns 230,000 yuan annually from woodland leasing. The morel project brings villagers 14,000 yuan per worker each growing season, with expected sales of 20,000 to 30,000 yuan per mu (about 0.067 hectares) in the future.

With rising collective income, the village has enhanced subsidies for medical insurance, built a football field, and opened a free canteen for villagers aged 75 and above. “Since Xiong’an New Area was esta

blished, our environment and services have kept improving,” Liu said.

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Yet nearly four decades ago, while working in one of the poorest parts of east China’s Fujian Province as the Party chief of Ningde Prefecture, Xi Jinping told local officials that ensuring access to everyday necessities for people living in remote areas, even items as basic as light bulbs and soap, was also a measure of good governance.

This remark highlighted a universal and profound question: should one evaluate an official’s performance based on short-term economic gains, visible projects, formal accolades, or tangible improvements in people’s well-being?

Xi answered with what he described as “a correct understanding of what it means to perform well,” a guiding principle for officials that prioritizes people’s well-being and values long-term, tangible results that may not be immediately visible, yet delivered through sound decision-making and concrete actions.

In late February, the Communist Party of China (CPC) Central Committee, with Xi at the core, initiated a Party-wide study campaign, prodding its members, particularly officials at the county and director level and above, to fix their mindset regarding governance performance so as to deliver results that “stand up in practice, in the eyes of the people, and over the course of time.”

The campaign, which will run until July, aims to correct misguided views on governance that often breed vanity projects, hidden risks, heavy burdens on local communities, and public discontent.

It marks the latest effort by Xi, who is now general secretary of the CPC Central Committee, Chinese president, and chairman of the Central Military Commission, to strengthen the Party’s self-governance, following last year’s initiative on improving conduct.

“The ever-improving effectiveness of the Party’s self-governance is the ultimate guarantee for economic and social development,” Xi said.

That emphasis was reiterated during an inspection tour on Monday, when Xi stressed Party leadership and Party building in developing the Xiong’an New Area — a fledgling modern city about 100 km south of Beijing — into an innovation hub and a model of high-quality development. Xi urged Xiong’an officials to step up to their responsibilities, devote themselves to policy implementation and deliver good results.

Party theorists said the latest study campaign focuses on strengthening the Party’s political development and its ranks of officials. As China has entered the opening year of the 15th Five-Year Plan (2026-2030), the fulfillment of its development goals will largely depend on whether officials act with a proper understanding of governance achievement and a down-to-earth approach.

Eduardo Regalado, a researcher at Cuba’s International Policy Research Center, said fostering a correct view on performance among officials has emerged as a key concept in the CPC’s governance framework for the new era, and will help China transform its development model toward greater quality, efficiency, and equity.

PEOPLE FIRST

A key target of the campaign is to stamp out the tendency among some officials to sacrifice public well-being in seeking to polish their performance records.

At a high-level meeting, Xi condemned the squandering of funds on facade painting in some rural areas at a time when they had freshly shaken off poverty or were still grappling with poverty.

Xi said spending lavishly to whitewash the walls there — something that neither feeds nor clothes the people — is “futile and a waste of public funds.”

While some officials err on the side of recklessness, some others deliberately choose inaction. Some play it safe and shy away from responsibility, believing that “the more dishes you wash, the more you break.”

Xi has on many occasions lashed out at such non-acting “nice guys” and “fence-sitters,” saying that those who lack dedication will achieve nothing and jeopardize critical endeavors.

Conversely, one paragon of good governance frequently cited by Xi is Jiao Yulu, a humble Party chief of the little-known rural county of Lankao in central China’s Henan Province in the early 1960s.

Confronted with sandstorms, floods and widespread soil salinization that left many residents struggling to feed themselves, Jiao and his colleagues worked tirelessly to plant shelter-belts in combating encroaching sands and flooding, and help Lankao gradually overcome chronic food shortages. However, Jiao did not live to see the full results of these efforts, succumbing to liver cancer at age 42 in 1964.

Xi was deeply moved when he first read Jiao’s story as a middle school student. He said Jiao’s spirit, defined by a people-first approach and tireless, selfless dedication, had served as a guiding light throughout his own journey from a grassroots official to China’s top leader.

In the early 1980s, while working in Zhengding County in north China’s Hebei Province, Xi helped cut the state grain procurement quotas that had earned the area a reputation as a “high-yield county” — after learning that some farmers there were left without enough to eat.

“Zhengding would rather give up the fame as a national model for high grain production than compromise the well-being of our people,” he said.

For Xi, governance should be guided by the needs of the people rather than political showmanship. An official’s true pursuit, he has said, should not be high office, but living up to people’s expectations.

Drawing on his firsthand experiences of rural hardship as a teenager, Xi launched a nationwide campaign to eradicate extreme poverty shortly after assuming the Party’s top post in November 2012, mobilizing the entire Party apparatus toward the goal. Under his leadership, China lifted nearly 100 million rural residents out of absolute poverty in eight years.

Viewing poverty alleviation not as an endpoint but a stepping stone toward the people’s expectations of a better life, Xi then pivoted to a broader vision — pursuing common prosperity for all, and building a great modern socialist country by the middle of the century.

But setting the right goals is only part of the task. Xi has therefore placed strong emphasis on improving the institutional framework governing officials’ conduct. He has stressed that, alongside fostering the right mindset, it is essential to strengthen systems that constrain and supervise the exercise of power.

Meanwhile, to encourage officials to take on responsibilities, Xi set clear selection and appointment benchmarks.

Officials who make errors with good reform intentions or due to lack of experience must be protected and distinguished from those who violate discipline and the law deliberately or to seek illegal gains, according to the “three distinctions” principle he proposed.

“Officials should be selected and promoted based on what they have done, what they have accomplished, and whether their work is recognized by both the Party and the people,” Xi said in remarks published in Qiushi, the Party’s flagship magazine, in March after the study campaign’s launch.

“Preference must be given to those who dare to take responsibility, show initiative, deliver results adeptly and demonstrate outstanding performance,” Xi said.

PROCEED FROM REALITY

The latest campaign on fostering a good governance culture underlines the need to proceed from reality and respect objective laws.

This call aims to address problems such as some localities slavishly replicating others’ successes, which reflects an over-reliance on a single model and a lack of pragmatic, well-conceived decision-making.

At last year’s Central Economic Work Conference, Xi criticized certain localities for blindly chasing trends irrespective of local conditions, either by jumping on the bandwagon of developing the chip industry or being eager to follow suit with the “new trio” projects — electric vehicles, lithium batteries and photovoltaics.

Xi has on many occasions stressed the importance of grounding solutions in local conditions, which is also a hallmark of his governance approach.

He has often likened policy-making to finding the right key for each lock — an idea that rejects one-size-fits-all solutions and emphasizes tailoring policies to different conditions.

Whether discussing urban development or energy policy, Xi has cautioned against ideas detached from reality. Under his leadership, China has made solid progress in green transition and set ambitious goals to peak carbon dioxide emissions before 2030 and achieve carbon neutrality before 2060.

Yet these commitments do not mean pursuing an unrealistic sweeping shutdown of traditional energy projects such as coal.

In 2024, during a visit to Chongqing Municipality in southwest China, Xi emphasized that while green development must advance, ensuring a stable energy supply is vital.

“Fill the belly first, then eat well,” he said, cautioning against an overly idealistic approach.

Xi has also warned against misguided views on achievements that lead to “inflated statistics,” sham project launches or “invoice-driven” GDP — a phenomenon where local authorities use rebates to attract shell companies and engineer a false boom.

This practice is now listed as a key rectification task for 2026.

Xue Jiping, chairman of an optical fiber manufacturer, noted that curbing such abuses has given law-abiding firms a true sense of security, boosting their confidence in expanding investments.

The fight against fabrication echoes Xi’s longstanding insistence on integrity. In 2017, after Liaoning Province in northeast China reported negative growth following a crackdown on falsified economic data, Xi affirmed the value of such honesty.

He said while the real figures might not appear impressive, they were “truly good-looking” because they were authentic, pledging the central authorities’ unwavering support for those exposing real conditions rather than promoting fake prosperity.

On March 12, China’s national legislature approved a GDP growth target of 4.5-5 percent for 2026, while promising to “strive for better in practice.”

The same pragmatism is reflected in the 15th Five-Year Plan, approved by lawmakers on the same day. It says GDP growth will be kept within a reasonable range, with annual targets set in light of circumstances. Other targets set in the blueprint also demonstrate a down-to-earth approach.

“These arrangements reflect a clear value orientation: development cannot rely on flashy gestures or grandstanding. Officials must roll up their sleeves and focus on real results,” said Yu Shaoxiang, a research fellow at the National Academy of Chinese Modernization under the Chinese Academy of Social Sciences.

“As we embark on the 15th Five-Year Plan period, we must clear away the mire and purify the air,” Xi said, urging officials to adopt a truth-seeking and pragmatic approach when drafting national and local plans.

“All plans must be grounded in reality, pursuing solid growth without inflated figures, and promoting high-quality, sustainable development. Those who act rashly, escalate targets layer by layer or launch projects indiscriminately will be held accountable,” he said.

LONG-TERM PERSPECTIVE

Since the outset of his tenure as a public servant, Xi has stressed that serving the country’s long-term interests, instead of seeking personal recognition or immediate acclaim, is what matters.

This approach reflects a particular understanding of governance — one that treats development not as a sprint within a single term of office. Xi has warned against the temptation to chase quick wins or “instant results” through short-term, high-impact projects, likening such practices to exhausting resources for fleeting gains.

Few areas illustrate the need for such long-term thinking more clearly than cultural heritage preservation and environmental protection, where the benefits often take years, even decades, to fully emerge.

When working as the acting governor of Fujian between 1999 and 2000, Xi chose to halt a mining project in the city of Sanming, after the site was found to contain fossils and artifacts that shed light on early human activity in that region. It was later recognized as one of the most significant archaeological discoveries in southern China.

This approach was again spotlighted years later while Xi was working in neighboring Zhejiang Province. During a local inspection tour, officials guided him to an industrial park they were eager to showcase. But when Xi learned that many of the factories there were little more than outdated industries relocated from more developed neighboring regions, his face darkened.

“What is there to see here?” he asked. “Leverage your own strengths and protect the green mountains and clear waters here — that should be your greatest governance achievement.”

The message was unmistakable: chasing quick economic numbers at the cost of long-term ecological health was not the kind of achievement that counted.

About a decade later, the same calculus, namely prioritizing long-term ecological security over short-term expansion, shaped Xi’s policy toward the Yangtze River, China’s longest river and a vital economic artery.

In 2016, at a high-level meeting focused on the Yangtze River Economic Belt, Xi opened with a blunt message to local officials: “You may be disappointed today — this is not a discussion about development, but about protection.”

He made clear that environmental recovery should be placed at the top of the agenda, highlighting a comprehensive assessment of development not only based on speed, but also on sustainability and long-term benefits.

The implications of this emphasis on the health of the environment extended far beyond the river itself. It confirmed that strategic foresight, conscientious planning and thorough execution should be the defining features of China’s development model.

The study campaign on governance mindset, meanwhile, was launched right before the rollout of the 15th Five-Year Plan, the penultimate one in China’s drive to basically achieve modernization by 2035.

Since the 1950s, these plans have served as both metronomes and navigators of China’s development, guiding the country’s transformation from scarcity to the world’s second-largest economy.

“The scientific formulation and sustained implementation of five-year plans is important governance experience of our Party and a key political advantage of socialism with Chinese characteristics,” said Xi, who led the mammoth effort behind the drafting of the country’s three most recent five-year plans.

This planning system places a premium on foresight. Hou Yongzhi, a researcher with the Development Research Center of the State Council, said the 109 major projects outlined in the 15th Five-Year Plan span multiple key areas of Chinese modernization, with a considerable share focused on cultivating new industries and emerging sectors.

Designed to lay foundations for the future, these projects will provide strong support for China’s economic growth and people’s well-being, Hou noted.

Alexander Davey, analyst at Berlin-based Mercator Institute for China Studies, said in an interview with German magazine Der Spiegel that China’s five-year plans act as a compass for Party cadres and government officials. For them, the plans signal how they should work and what they need to achieve.

Emphasis on long-term planning also helps explain why Xi has repeatedly urged officials to value not only visible achievements, but also the less visible work that lays the groundwork for future development.

“The rejuvenation of the Chinese nation is a relay race, in which the baton must be passed on from one generation to another, with each generation striving to run its own leg well,” Xi said.

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This commitment is also crucial for restoring investor confidence and ensuring a stable, predictable environment for investment, Denis Depoux, global managing director at Munich-based Roland Berger, told Xinhua in a written interview ahead of the Boao Forum for Asia Annual Conference running from Tuesday to Friday in south China’s Hainan Province.

Facing headwinds including tariffs and global crises, China has demonstrated strong resilience in recent years, injecting invaluable stability into the global supply chains, he said.

“Amid the ongoing Middle East crisis, which has significantly disrupted global energy supplies, we believe that China will continue to demonstrate this resilience through its long-term transition to renewable energy,” Depoux said.

Speaking of China’s commitment to green development, Depoux emphasized that it is not confined to the energy sector, but is infusing and empowering a wide range of other industries.

He pointed to the government work report at this year’s “two sessions” of China’s top legislature and top political advisory body, which emphasized building hyper-scale intelligent computing clusters and improving coordination between computing power and electricity systems.

“This will create a new competitive advantage where AI development is intrinsically linked to the green energy transition. By leveraging its world-leading green energy capacity to power data centers, China can significantly lower the cost of AI computation,” he said.

This synergy, Depoux added, not only contributes to global climate goals, but also positions China to lead the next wave of digital innovation with more affordable, green-powered AI services.

Moreover, he described Asia as a beacon of global growth in recent years, noting that China is playing a strong role in this trend, fueled by significant technological breakthroughs.

“China is transforming from a maker and taker of products to an innovator and a trendsetter, driven by a unique combination of innovation, scale and speed,” said Depoux.

China’s rise as an innovation leader, together with its fast-growing productivity and worldwide scale-up, will continue to reshape regional and global supply chains while creating opportunities for multinational corporations (MNCs), Depoux said.

For multinationals, China represents a dynamic, multifaceted growth platform, he said. “The opportunity is not just to sell to China, but to grow with China as it builds new corridors of cooperation, especially with the Global South.”

“Across different markets and segments, we will see Chinese companies and MNCs collaborate with each other, both in China and across the rest of the world,” he said.

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Titled “Sustainable Development: Asia and the World Annual Report 2026 — Sustainable Development in Asia amid Global Transformation,” the report underscores the region’s growing weight in shaping the global energy transition.

It notes that digitalization and green transitions are laying the foundation for a new “Asian Miracle.”

Asia’s role in the global green energy transition is critical as it is home to the world’s largest population, generates about half of the global GDP and accounts for more than half of global energy consumption.

Across the region, China, India, Japan, the Republic of Korea, ASEAN and Gulf countries are developing renewable energy such as solar and wind power in light of local conditions, while also advancing technologies, including hydrogen, grid modernization, and carbon capture, utilization and storage, with the green economy showing strong growth momentum, says the report.

The numbers illustrate the shift. Asia’s installed power generation capacity has surpassed 5.3 terawatts, with renewables accounting for 2.67 terawatts, or about half of the total. As a result, the region now represents 58 percent of global installed renewable energy capacity.

“Asia’s green transition, particularly energy transition, is deepening and positioning the region as a spearheading global force,” said Li Baosen, deputy secretary-general of the Global Energy Interconnection Development and Cooperation Organization (GEIDCO), a contributor to the report.

During the process, China stands out as a key driver, Li added. “In 2025, China’s total installed clean energy capacity reached 2.4 billion kilowatts, representing roughly 45 percent of the global total.”

“Notably, China’s combined wind and solar capacity has, for the first time, surpassed that of thermal power, an expansion that highlights China’s growing contribution to energy transformation both in Asia and the world,” Li added.

Meanwhile, the region is also making rapid advances in emerging green technologies, positioning itself as a potential leader. In 2025, Asia’s investments in technologies related to solar energy, wind energy, batteries and hydrogen energy accounted for 65 percent, 64 percent, 41 percent and 48 percent of global totals, respectively, playing a crucial role in accelerating the advancement of global low-carbon technologies, according to the report.

Despite significant progress, the report also points out that Asia still faces constraints, including entrenched reliance on fossil fuels, underdeveloped power grid infrastructure and gaps in green financing. These factors, the report notes, could slow the pace of transition if not addressed through coordinated policy and investment.

To navigate these obstacles, the report calls for a shift toward energy systems defined by clean-energy dominance, greater electrification, stronger interconnectivity and smarter efficiency. It urges Asian countries to adopt transition pathways suited to their national conditions while strengthening regional coordination.

Founded in 2001, the BFA is a non-governmental and non-profit international organization committed to promoting regional economic integration and bringing Asian countries closer to their development goals.

Themed “Shaping a Shared Future: New Dynamics, New Opportunities, New Cooperation,” the BFA Annual Conference 2026 runs from March 24 to 27 in Boao, a coastal town in China’s southernmost island province of Hainan.

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Asia’s share of global GDP is projected to continue its upward trajectory, rising from 49.2 percent in 2025 to 49.7 percent in 2026 on a purchasing power parity basis, according to the report titled “Asian Economic Outlook and Integration Progress Annual Report 2026.”

The foundations of Asian trade integration have continued to strengthen, the report noted, citing data that intra-regional trade dependence edged up from 56.3 percent in 2023 to 57.2 percent in 2024, as major economies across the region increasingly orient their trade ties toward one another.

“China and ASEAN continue to stand out as the region’s twin ‘anchors of stability’,” the report pointed out.

Asia-Pacific economies are increasingly transitioning from individual integration into global value chains toward a model of shared regional integration, with many advancing up the value chain ladder buoyed by support from within the region, it said.

The region also continues to be the world’s premier destination for foreign direct investment, recognized for its resilience, growth potential and enduring appeal to global investors, with China and ASEAN leading as the most attractive destinations, it said.

On the tech front, the report said the global epicenter of artificial intelligence (AI) development is progressively shifting from Europe and the United States toward Asia.

“Capitalizing on their substantial digital populations, diverse application ecosystems, and coherent policy frameworks, Asian economies are rapidly evolving from AI followers into frontrunners,” it said.

Founded in 2001, the BFA is a non-governmental and non-profit international organization committed to promoting regional economic integration and bringing Asian countries closer to their development goals.

Running from March 24 to 27, this year’s conference is themed “Shaping a Shared Future: New Dynamics, New Opportunities, New Cooperation.”

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Zhang who on Thursday officiating at celebrations to mark the UN International Chinese Language Day said his country was ready to work with other Global South partners to enhance cooperation.

“The US government has unilaterally imposed these tariffs on its trading partners, including China, severely undermining the rule-based multilateral trading system, the economic order and the welfare and interests of other nations,” Zhang said.

“The essence of these actions is unilateralism, protectionism and economic coercion, and China firmly stands against these actions,” he added.

According to the envoy China has always upheld true multilateralism and remained committed to building an open world economy.

“We will never turn to unilateralism or protectionism. China will not cause trouble, but not afraid of trouble.”

“China’s responsive measures are not only protecting her rightful rights and interests, but also safeguarding international fairness and justice,” Zhang stated.

The official, however, said China remains open to dialogue with the US on economic and trade matters and supports resolving differences through consultations based on mutual respect and equity.

“We stand ready to work with Uganda and all other nations to uphold the legitimate rights and interests of the global South and defend international fairness and justice.”

Hundreds of students turned out to celebrate the Chinese language day at Makerere University which was organized by the Confucius Institute at Makerere University was marked under the theme, “Chinese Language: A gift across time and space”.

The Vice Chancellor, Barnabas Nawangwe, in his message delivered by Prof Robert Wamala, said the Chinese language was building bridges between different people of varying cultures.

“At Makerere University, we are proud to be part of this global dialogue. Through our collaboration with the Confucius Institute, we have witnessed first-hand the immense value of cross-cultural education in promoting mutual understanding, respect, and shared prosperity,” Wamala said.

He added that more students were coming on board.

“Our students have not only learnt a new language but have gained a deeper appreciation of Chinese culture, philosophy and history – perspectives that broaden their world views and enhance their roles as global citizens,” Wamala said.

The UN, 16 years ago designated the international Chinese language day “to celebrate multilingualism and cultural diversity as well as to promote equal use of all six of its official working languages throughout the organization”.

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OPINION: The latest information from Uganda indicates that civil works for the construction of the East African Crude Oil Pipeline (EACOP) have since commenced amidst lobbying for funding for the same project.

Even as the civil works start, gross violation of human rights in this east African country continues unabated. The once treasured Pearl of Africa has since turned into the deepest grave of Africa when it comes to trampling on human rights.

Take the case of LGBTs who are currently living one day at a time given that a horrendous law was passed to eliminate gays from a country under led by despot Yoweri Museveni.

Once convicted of aggravated homosexuality, the victims are either sent to jail for life or sent to the gallows.

Just recently, organisers of a gay party were hunted down by a combined force of police, military intelligence and internal security organization.

Hundreds of Ugandans have since fled their homes and are living in exile in various friendly and democratic countries, some of which have since been branded enemies of development by despot Museveni.
In fact of these friendly countries like the USA have responded with more punishments, including eliminating Uganda from a tariff-free trade arrangement that was extended to a number of African countries.

Hundreds of traders in Uganda have been left in tears, calling upon the president to withdraw the infamous law.

In adding America warned its citizens and trade organisations against working with Uganda, a country where human rights abuse is the order of the day.

However, more can be done to isolate Uganda. For instance, if Uganda is given the opportunity to start commercial production of oil, the country will earn more money and this is likely to result in gross abuse of human rights.

This is because the despot will have more money at his disposal and will not be relying on donors to fund the country’s national budget and other demands.

Already people affected by EACOP are in tears, according to a new report. Given that EACOP will be running through several districts and covering at least 250km within Uganda, the displaced people have not been given the equivalent compensation for their property so that they can start a new life.

The new report indicates that the EACOP project has, to a great extent, impoverished the Project Affected People (PAPs).This is contained in a research report released November 7, 2023 by Africa Institute for Energy Governance (AFIEGO).

According to AFIEGO, the research was conducted between April and November 2023. Two hundred and thirty-seven (237) respondents from 31 villages, 16 sub-counties and six of the 10 EACOP-affected districts in Uganda participated in the research.

The participants were drawn from districts of Hoima, Kikuube, Kakumiro, Mubende, Lwengo and Kyotera. They included EACOP project-affected persons, local council leaders, women, the elderly and cultural as well as opinion leaders.

The research assessed the impact that the EACOP project had had on the affected people’s access to land, the productivity of the replacement land that the affected people acquired after being displaced for the EACOP and the changes in income the affected people experienced after being displaced for the EACOP.

The research also assessed whether the EACOP had enhanced the affected people’s access to social services such as schools, health centres and cleans water among others. The EACOP-affected people’s access to employment opportunities in the oil and gas sector was also assessed among others.

The Chief Executive Officer of AFIEGO, Dickens Kamugisha, argues that the Ugandan government and other promoters of the oil and gas industry in Africa have made arguments that the industry is needed to promote socio-economic growth; however, this has not been the case.

“Our research shows that instead of improving the socioeconomic conditions of the affected people, the EACOP led to a regression in the affected people’s lives,” he said.

Given the above violations of human rights, including torture, abduction and killing of opposition activists, the sponsors of the EACOP should consider withdrawing their support for a project whose repercussions will be grave to both human beings and the environment.

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