I. Industry

Central Bank Rolls Out RMB 500 Billion MLF Operation, Raising Scale for Consecutive Third Month

On July 23, the People’s Bank of China (PBOC) announced that to maintain ample liquidity in the banking system, it would conduct a Medium-term Lending Facility (MLF) operation worth RMB 500 billion on July 24 via fixed-volume, interest-rate bidding with multiple successful bid prices, with a maturity of one year. The operation helps replenish medium-term liquidity and supports government bond issuance as well as financing demand of the real economy.

(Source: People’s Bank of China)

NBS: Profits of Industrial Enterprises above Designated Size Rise 18.7% in H1; Electronics Industry Profit Surges 96.9%

Data released by the National Bureau of Statistics (NBS) on July 27 shows that industrial enterprises above designated size posted a total profit of RMB 3.94799 trillion from January to June 2026, a year-on-year increase of 18.7%. Profits of the computer, communications and other electronic equipment manufacturing sector jumped 96.9% year on year. Over the same period, operating revenue of industrial enterprises above designated size reached RMB 69.26 trillion, up 6.5% year on year, with an operating profit margin of 5.70%.

(Source: National Bureau of Statistics)

MOFCOM: Actual Utilized Foreign Investment in Electronics & Communications Equipment Manufacturing Grows 52% in H1

The Ministry of Commerce (MOFCOM) stated on July 23 that 31,617 new foreign-invested enterprises were established nationwide in the first half of 2026, rising 5.3% year on year; actual utilized foreign investment stood at RMB 402.14 billion. By sector, actual utilized foreign investment in R&D and design services, electronics and communications equipment manufacturing, and computer and office equipment manufacturing grew by 82%, 52% and 29.2% respectively. Foreign capital continues to cluster in high-end manufacturing and service segments.

(Source: Ministry of Commerce)

II. Market

CPCA Auto Passenger Car Association: July New Energy Passenger Vehicle Retail Expected at 980,000 Units, Penetration Rate around 64.5%

On July 23, the China Passenger Car Association (CPCA) released forecasts showing that retail sales of narrow-sense passenger vehicles in July are projected to hit 1.52 million units, down 5.1% month-on-month and 16.8% year-on-year. Among them, retail sales of new energy passenger vehicles will reach roughly 980,000 units with a penetration rate of approximately 64.5%, likely setting a new monthly record. The electrification penetration rate keeps climbing amid the traditional off-season.

(Source: National Business Daily)

H1 Exports of Industrial Robots Rise 18.6%; AI-related Equipment Exports Maintain Strong Momentum

At a press conference held by the State Council Information Office on July 28, MOFCOM indicated that according to customs statistics, China’s exports of AI-related products including industrial robots and 3D printers increased by 18.6% and 109.3% year on year respectively in the first half of 2026. Exports of electric vehicles and lithium batteries rose 68.7% and 37.6% correspondingly. Smart manufacturing equipment has become a new growth engine for foreign trade.

(Source: Xinhua News Agency)

China Smartphone Market Contracts for Fifth Consecutive Quarter; Q2 Shipment Drops 4.3% YoY

IDC released quarterly tracking data on July 23. China’s smartphone market shipped around 66.01 million units in Q2 2026, falling 4.3% year on year, marking five successive quarters of year-on-year decline. Market demand is increasingly concentrated on high-end products. Rising memory costs, longer replacement cycles and sluggish demand have widened divergence among brand players.

(Source: IDC)

III. Enterprises

Zhen Ding Holdings Plans RMB 100 Billion Investment for Shenzhen No.3 Industrial Park for Advanced AI Substrate-like Boards & Flexible Circuits

Zhen Ding Holdings announced on July 23 its plan to invest RMB 100 billion to build the new Shenzhen No.3 Industrial Park, an intelligent manufacturing base for AI-oriented advanced substrate-like boards and flexible printed circuits. Construction is scheduled to kick off in July 2026 and complete and commence production by 2033. The project focuses on advanced substrate-like boards for AI servers, high-end HDI and premium flexible circuits for AI end devices.

(Source: Zhen Ding Holdings Announcement)

Redboard Technology to Invest up to RMB 60 Billion in Three High-end PCB Projects

On July 23, Redboard Technology unveiled three investment proposals, covering an industrialization project for high-end precision circuit boards adopting advanced mSAP technology, technical upgrading and capacity expansion for high-precision HDI circuit board production lines, plus the construction of Building D1 and supporting facilities at its Ganzhou site. The total investment will not exceed RMB 60 billion, funded via internal resources and external fundraising.

(Source: Securities Times)

Jialichang Launches SZSE Main Board IPO Subscription, Issuing 55.56 Million Shares

On July 24, Shenzhen Jialichang Technology Group Co., Ltd. opened online and offline subscription for its IPO (stock code: 001232). The offering price stands at RMB 84.46 per share, with 55.56 million shares publicly issued. Raised funds will be deployed into projects for high-layer printed circuit boards, intelligent PCBA production lines, R&D center construction and information system upgrades.

(Source: Tongshun Finance)

Shengyi Technology Signs RMB 50 Billion AI Computing & Advanced Semiconductor Substrate Project in Suzhou

On July 24, Suzhou Shengyi Technology Co., Ltd. signed a project letter of intent with the Administrative Committee of Suzhou Industrial Park. The company plans to invest around RMB 50 billion to build an R&D and manufacturing base for high-performance AI computing hardware and advanced semiconductor substrates, focusing on the development and mass production of high-end copper-clad laminates and advanced packaging substrates.

(Source: Securities Times)

Shennan Circuits Continues Capacity Expansion for AI Computing PCBs & Packaging Substrates

Investor relations activity minutes disclosed on July 24 show that Shennan Circuits’ 2026 capital expenditure will mainly fund its Wuxi AI computing electronic circuit project, Guangzhou packaging substrate factory, Nantong Phase IV expansion and Thailand manufacturing facility. The Wuxi project involves total investment of RMB 45.36 billion, specializing in high-speed, high-density, multi-layer PCBs used in AI servers and switches.

(Source: Sina Finance)

Google Lifts Full-year Capital Expenditure Guidance, Scales Up Investment in AI Servers & Data Center Infrastructure

Alphabet, Google’s parent company, disclosed on July 23 that capital expenditure reached USD 44.92 billion in Q2 2026, mainly spent on AI servers, data centers and network infrastructure. It raised its full-year 2026 capex guidance from USD 180–190 billion to USD 195–205 billion. Global cloud operators keep expanding AI infrastructure, bringing incremental demand for high-layer PCBs, high-speed interconnect products and server supply chains.

(Source: Yicai Global)