China

中央发话！解决好拖欠企业账款

China Daily | Local Language | News | Dec. 12, 2025 | Regulation

On December 8, 2025, the Politburo emphasized the urgent need to resolve overdue payments to enterprises and migrant workers, highlighting the seriousness of delayed payments on the national agenda. This issue has been repeatedly addressed throughout 2025, with previous directives aimed specifically at local governments and private enterprises, urging governments and state-owned enterprises, especially central state-owned ones, to lead in addressing these outstanding payments.

The central government views delayed payments as a significant threat to small and medium-sized enterprises (SMEs), where cash flow disruptions can jeopardize production, wage payments, and overall business survival, ultimately affecting the livelihoods of many families and the economic foundation. Recognizing this, policy measures have been systematically introduced since 2024, including the issuance of clear Opinions on the matter and an approved Action Plan to accelerate clearance of outstanding debts in early 2025.

Regulatory improvements came into effect on June 1, 2025, with revised rules requiring government bodies, public institutions, and large enterprises to pay SMEs within 60 days of delivery, and prohibiting conditional payments based on third-party schedules. These measures aim to establish long-term mechanisms to prevent recurring cycles of debt accumulation and ensure smoother payment flows.

Judicial data from the Supreme People's Court indicate progress in clearing debts owed by government and public institutions to SMEs, with over 9,166 cases settled and more than 31.142 billion yuan recovered from January to September 2025. The central government emphasizes the broader economic implications of unpaid debts, including threats to government credibility and the business environment, urging timely implementation of policies to support enterprise survival and sustain economic stability.

China Daily | English | News | Dec. 12, 2025 | Regulation

China’s State Administration for Market Regulation (SAMR) has introduced two compulsory national standards for civil drones, set to take effect on May 1, 2026. The standards focus on real-name registration and activation of civil UAVs, and operational identification systems, aiming to clearly identify operators and enable real-time monitoring of drones during flight.

The real-name registration standard sets requirements for registrants, management, data exchange, and mandates that drones cannot fly before activation or after deactivation. The operational identification standard requires drones to automatically transmit identity, location, speed, and status information to regulators throughout their flight, facilitating better management of drone activities.

These measures respond to rapid growth in drone usage in China, with 2.726 million drones registered by mid-2025, a 74.7% year-on-year increase, and 24.47 million cumulative flight hours recorded in the first half of 2025, a 149% rise compared to the previous year. The standards also support the enforcement of China’s Interim Regulations for Managing UAV Flight, which took effect on January 1, 2024, establishing a comprehensive regulatory framework for drone production, operation, and supervision.

China Daily | English | News | Dec. 12, 2025 | UndeterminedEconomic Growth

The Asian Development Bank (ADB) has revised up its 2025 growth forecast for the Chinese mainland from 4.7 percent to 4.8 percent. This revision is based on stronger-than-expected GDP growth of 5.2 percent in the first three quarters of 2025 and new policy support measures. Net exports contributed significantly to growth, adding 1.5 percentage points, with exports rising 6.1 percent in US dollar terms and 8.3 percent in volume, driven mainly by non-US markets.

The easing of US-China trade tensions, export market diversification strategies, and China's strength in high-tech and new-energy products are expected to sustain export resilience in the fourth quarter. Additionally, policy support amounting to 1 trillion yuan ($141.6 billion) for investment and local governments is anticipated to offset domestic economic weaknesses. The ADB's 2026 growth forecast for China remains unchanged at 4.3 percent.

For developing Asia and the Pacific, the ADB also raised its growth outlook, projecting 5.1 percent growth in 2025 and 4.6 percent in 2026, increases of 0.3 and 0.1 percentage points, respectively. This revision reflects stronger-than-expected exports and reduced trade uncertainty following the conclusion of multiple trade agreements with the United States. Resilient consumption and robust exports—especially in electronics, semiconductors, and through export diversification—have sustained economic activity despite weaker investment and inventory destocking.

The ADB highlights that solid economic fundamentals underpin the region’s growth amid global trade uncertainties, which have been partly alleviated by new trade agreements. Continued efforts to promote open trade and investment are encouraged to maintain resilience and growth prospects for Asia and the Pacific.