China’s growth can usher in a new era for China–Israel cooperation

As the Chinese Ambassador to Israel, I have been impressed during my eight months in office by the interest of Israeli friends in China and their enthusiasm for practical cooperation with our country. I would like to take this opportunity to share with friends in Israel China’s current development achievements and the successful experiences behind them.

This year marks the final year of China’s 14th Five-Year Plan—a blueprint and action program for the country’s development from 2021 to 2025. As the world’s second-largest economy and a major engine of global growth, China has become one of the most stable, reliable, and proactive forces driving global development.

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Ambassador Xiao JunzhengAmbassador Xiao Junzheng

Ambassador Xiao Junzheng

(Credit: Embassy of China)

Economic Achievements Under the 14th Five-Year Plan

A. Significant growth in economic scale

Over the past four years, China’s economy has grown at an average annual rate of 5.5%. In the first half of 2025, GDP growth remained steady at 5.3%, with the full-year total projected to reach around 140 trillion RMB. The economic increase during the 14th Five-Year Plan period is expected to exceed 35 trillion RMB. China’s contribution to global economic growth has consistently remained around 30%. The annual added value of China’s manufacturing sector exceeds 30 trillion RMB, maintaining its position as the world’s largest manufacturer for 15 consecutive years. China has the world’s largest, most comprehensive, and most complete industrial system, ranking first globally in the output of more than 200 major industrial products.

B. Marked improvement in economic quality

China leads the world in key areas such as robotics, new energy, environmental technology, advanced materials, and quantum technology. Its innovation capacity continues to grow, producing a stream of breakthroughs. The first domestically built large cruise ship, Adora Magic City, has entered into operation; the world’s first fourth-generation nuclear power plant at Shidaowan has begun commercial operation; the Chinese space station Tiangong is fully operational; the Chang’e-6 mission achieved the world’s first unmanned sample return from the far side of the moon; and China’s first domestically developed large passenger jet, the C919, designed to meet international airworthiness standards, has begun commercial flights.

C. A greener development path

The concept that “lucid waters and lush mountains are invaluable assets” has taken deep root in China. Forest coverage has increased to over 25%, with around 210,000 square kilometers of new forest area, contributing one quarter of the world’s net increase in green space. By 2024, China’s energy consumption per unit of GDP had fallen by 11.6% from 2020, making it one of the fastest-improving countries in energy efficiency. China’s renewable energy capacity exceeds the combined total of the next seven countries, leading the global supply chains for electric vehicles, solar power, and wind energy.

D. Continued improvements in people’s well-being

China has built and continues to strengthen the world’s largest education, social security, and health care systems. The retention rate in compulsory education, as well as the participation rates in basic pension insurance and basic medical insurance, have all exceeded 95%. Since the start of the 14th Five-Year Plan period, urban employment has increased by over 12 million each year, growth in household income has kept pace with economic growth, and urban–rural income gaps have narrowed further. Chinese people enjoy much greater fulfillment and happiness.

The Keys to “China’s Governance” Success

A. Medium- and long-term planning for socioeconomic stability

From the First Five-Year Plan in 1953 to the current 14th Five-Year Plan, China has consistently guided economic development through scientific top-level design and relied on such development plans to pool all its resources to complete major missions. China is not the only country to formulate medium- and long-term development plans, but its long-term implementation and remarkable success are unparalleled in the world. This stable policy environment provides predictable institutional guarantees for investment, industrial upgrading, and technological innovation, becoming a key pillar of China’s economic growth and injecting greater certainty into a turbulent world.

B. Innovation-driven development and acceleration of new quality productive forces

China has the world’s largest pool of R&D personnel and 26 of the world’s top 100 science and technology innovation clusters—the highest number globally. It is home to more than 460,000 high-tech enterprises, and its technological edge continues to sharpen. In 2024, total national R&D expenditure reached a record high, increasing by nearly 50% compared to the end of 2020, with an increment of 1.2 trillion RMB. R&D intensity rose to 2.68%, approaching the OECD average level.

C. Unwavering commitment to high-level opening-up

Opening-up is China’s fundamental national policy. Expanding and upgrading openness to drive reform and development has been a crucial factor in China’s continuous achievements. China is now the main trading partner of over 150 countries and regions, and has ranked first globally in goods trade for eight consecutive years. China has steadily relaxed market access for foreign investment, significantly reduced the negative list, and completely removed the restrictions in the manufacturing sector. Institutional opening has expanded steadily, with 22 pilot free trade zones established and 23 free trade agreements signed. Trade with 30 FTA partners now accounts for around 43% of China’s total foreign trade. China firmly pursues a mutually beneficial opening-up strategy. The China International Import Expo (CIIE) has opened a window of opportunity, with cumulative intended deals from its seven sessions exceeding 500 billion USD. China continues to promote high-quality Belt and Road cooperation, signing over 200 agreements with more than 150 countries and over 30 international organizations.

New Opportunities for China–Israel Cooperation

Although geographically distant, China and Israel have highly complementary economies. Israel, as a Startup Nation, possesses world-class capabilities in technological innovation, while China, as a manufacturing powerhouse and major consumer market, offers a vast market comprising 1.4 billion people and strong manufacturing capacity. Chinese capital can help Israeli startups expand globally, while Israeli technology can support China’s industrial upgrading. Together, the two sides could create a win–win model of “Israel R&D + China manufacturing + global markets”.

China’s economic and social development not only benefits its own people but also creates opportunities for countries around the world, including Israel. We look forward to deepening mutual understanding and innovation cooperation between China and Israel, especially in emerging sectors such as AI, biotechnology, health care, and clean energy. We can work together to establish joint laboratories and industrial parks, improve investment and financing systems, and foster more benchmark projects. As China advances high-quality development and Israel continues to unleash its innovation advantages, bilateral economic and trade cooperation will reach new heights, jointly contributing to global sustainable development.

Xiao Junzheng is the Chinese Ambassador to Israel

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