China

Global Times | English | News | Jan. 23, 2026 | Accidents

An explosion at Baogang United Steel in Baotou, Inner Mongolia, occurred at 3:03 pm on January 18, resulting in 10 deaths and 84 injuries. Emergency rescue teams from national, regional, and city levels responded promptly to the incident.

After thorough search and verification by public security, health, and other departments, eight previously missing individuals were confirmed deceased. All injured persons are currently in stable condition. The investigation and follow-up arrangements related to the accident are ongoing.

高盛维持2026慢牛预判：反内卷、出海、AI板块将撑起A股企业14%盈利增长

Sina Finance | Local Language | News | Jan. 23, 2026 | UndeterminedOperating Results

Goldman Sachs projects China’s real GDP growth at 4.8% in 2026, with a “low first, high later” pattern where first-half growth ranges between 4.5% and 5%, and second-half growth nears 5%. Exports are expected to grow steadily, supported by global economic demand, competitive Chinese products in emerging markets, and China’s control of key minerals like rare earths. Nominal export growth in US dollars is forecasted at 5.6%, with export volumes rising 5%–6% annually.

Consumption growth is expected to be driven by the service sector, which is more labor-intensive and can bolster employment and incomes. Household consumption remains weak but is supported by increased government consumption following a debt-conversion plan and ongoing trade-in policies. Investment is anticipated to improve over 2025, driven by previously delayed projects, new financial instruments, and major initiatives in technology, AI, and power grids tied to the 15th Five-Year Plan.

Goldman Sachs maintains a “slow bull” outlook for China’s A-share market in 2026, supported primarily by a sharp rise in corporate earnings, projected to grow 14% compared to 4% in 2025. Key drivers include AI sector development shifting toward applications and monetization, overseas revenue growth from Chinese companies reaching 20% by 2030, and the “anti-involution” policy boosting margins in upstream and manufacturing sectors.

Capital inflows are expected to be robust, with over 3 trillion yuan of new domestic capital entering the stock market, and significant southbound and northbound foreign investments setting new records. Overseas investor interest is increasing but has not yet reached scale, highlighting the value of Chinese assets for global portfolio diversification.

Sector preferences favor technology hardware (including smartphones, AI servers, semiconductors), internet, insurance, and materials sectors due to their alignment with AI development, technological self-reliance, and “anti-involution” policies. Thematic focuses include AI, going-global expansion, private-sector leadership, mid-cap policy beneficiaries, and companies with high shareholder returns, as China’s listed firms are expected to distribute about 4 trillion yuan in cash returns in 2026.

In commodity strategy, Goldman Sachs remains positive on precious metals, especially gold, for its safe-haven value amid global uncertainties. Technology sector valuations are judged reasonable and supported by earnings growth, with no bubble risk detected. Investors are advised to center portfolios around AI, going-global, and “anti-involution” themes, diversify geographically, and leverage structural opportunities backed by government policy.

Peoples Daily | English | News | Jan. 23, 2026 | South China Sea

On January 12, 2026, the China Coast Guard vessel Fuying dismantled illegally planted fish traps near Xianbin Jiao in the South China Sea. These fish traps are characterized by buoyant materials such as tires, foam, or iron barrels visible above water, with ropes extending dozens to over a hundred meters deep, adorned with tree branches to attract fish.

The small above-water size of these traps makes them difficult to detect, but they pose significant risks to sailing, as their ropes and branches can entangle ship propellers. Additionally, the materials used in the traps release tiny particles that can be absorbed by fish, posing threats to marine life and the environment.

The China Coast Guard has pledged to continue vigilant patrols to identify and immediately dismantle illegal fish traps in the area to ensure the safety of navigation and protect the ecological health of waters under China's jurisdiction.