Shanghai is aiming for around 5% GDP growth in 2026, Mayor Gong Zheng announced on Tuesday in his government work report.
This target comes after stronger-than-expected growth in 2025, when the city’s GDP rose 5.4% year-on-year to 5.67 trillion Yuan (around $814.6 billion).
Lu Ming, director of the Shanghai Institute for National Economy at Shanghai Jiao Tong University, said that the roughly 5% growth target demonstrates Shanghai’s strategic determination and practical approach.
He added that it aims to sustain growth while navigating a new development phase and adjusting to changing external conditions.
The report highlighted that domestic demand will take a more central role in Shanghai’s economic growth in 2026, Business Today reports.
The city plans to actively stimulate consumption by expanding the debut economy, nighttime economy, live-streaming economy, and silver economy, while fostering deeper integration of culture, tourism, commerce, sports, and exhibitions.
It also noted that Shanghai will improve support for inbound tourism, departure tax refunds, and cross-border payments to further encourage spending by visitors.
Shanghai welcomed a record 9.36 million inbound visitors last year, marking nearly a 40% year-on-year increase and setting a new high for annual inbound tourism.
Furthermore, the major Chinese financial hub plans to actively stabilise foreign trade and investment, promoting greater foreign investment in sectors including advanced manufacturing, modern services, high-tech industries, and energy conservation and environmental protection.
In 2025, Shanghai’s total imports and exports hit 4.51 trillion Yuan, up 5.6% year-on-year, with exports rising 10.8%. Actual foreign investment utilisation reached $16.06 billion, and more multinational companies set up regional headquarters or R&D centres in the city.
Moreover, technological innovation and emerging industries continue to drive Shanghai’s high-quality development. The report stated that the city will further enhance its role as an international science and technology innovation hub, promote closer integration of technological and industrial innovation, and cultivate new, high-quality productive forces.
Last year, R&D spending made up roughly 4.5% of Shanghai’s GDP, according to official data. The combined value of the city’s integrated circuit, biomedicine, and AI industries surpassed 2 trillion Yuan.