China's economy accelerated in early 2026 after nearly stalling last year

China released data showing industrial production, services, and trade growth rebounded sharply in January-February 2026 after contracting or slowing through 2025. The numbers suggest the government's spending stimulus is working — infrastructure investment jumped 11.4%, high-tech manufacturing grew 13%, and exports surged 19%.

China's economy had stopped growing reliably by late 2025, which mattered because China is the world's second-largest economy and a critical source of demand for raw materials, parts, and finished goods everywhere else. The rebound signals that Beijing's decision to spend heavily on infrastructure and incentivize manufacturing is actually producing growth, not just moving money around. What becomes possible: if this holds, global commodity prices stabilize, supply chains that depend on Chinese demand stop shrinking, and manufacturers in other countries get breathing room to plan investment.