China

GDP growth picks up from Q2 amid AI-driven boom in exports.

China’s economy has grown faster than expected in the most recent quarter amid booming exports underpinned by artificial intelligence, according to official figures.

China’s gross domestic product (GDP) expanded 4.5 percent in the July-September period from the same quarter a year earlier, picking up from 4.3 percent growth in the second quarter and beating most analysts’ forecasts, figures released on Monday by the National Bureau of Statistics showed.

During the first nine months of the year, GDP grew 4.6 percent year-on-year, according to the preliminary figures.

While China’s technology-related exports have surged during the AI boom, growth in the world’s second-largest economy has been dampened by weak domestic demand and a sagging property market.

China’s ruling Communist Party has set a GDP growth target of 4.5 to 5 percent for 2026, which would be among the slowest expansions in decades, excluding during the COVID-19 pandemic.

Chinese exports surged more than 16 percent in the first three quarters of the year to reach 23.19 billion yuan ($3.47bn), according to the official data, largely due to strong demand for semiconductors and other tech-related goods.

Retail sales, a key measure of domestic consumption, increased 1.1 percent year-on-year in September and 2.6 percent during the first nine months of 2026.

Industrial production, which measures output in sectors such as manufacturing and mining, rose 5.5 percent in September, taking growth in the first three quarters to 5.3 percent.

Investment in fixed assets, which covers spending on real estate, factories and machinery, edged up 0.7 percent last month but contracted 7.2 percent during the January-September period.

Zhiguo He, a finance professor at Stanford University’s Graduate School of Business who studies the Chinese economy, said that while China’s economy is on track to hit official targets, Beijing will be wary of the continuing reliance on export-driven growth.

“I expect Beijing is getting 4.5 percent as wanted,” He told Al Jazeera.

“A managed slow slowdown is the best Beijing can hope for,” he said.

“Real estate is still shrinking. This is what Beijing wanted and a good thing, and China’s households have been adapting their expectations based on this.”

China is increasing its gold reserves in a bid to reduce its dependence on US dollar assets and protect against financial and geopolitical risks, analysts say, while households are turning to the precious metal amid uncertainty over the domestic economy.

The People’s Bank of China reported buying gold for a 23rd consecutive month in September, when the country’s central bank also made its largest monthly purchase in nearly three years. The sustained buying points to a longer-term effort to spread risk associated with its vast reserves, experts say.

Among concerns is high US debt and Western governments’ freezing of assets, which has highlighted the inherent risk in holding money overseas, particularly for emerging market and Global South economies. Gold bought and stored domestically offers protection against that risk because access does not depend on the will of another government.

But central bank buying and household demand for gold in China have different drivers. While Beijing is managing its financial exposure, private investors are seeking somewhere to preserve their savings. Here is what we know.

How much gold has China bought?

China’s central bank added approximately 23 tonnes of gold in September, bringing its reported holdings to about 2,410 tonnes, according to the World Gold Council. That was its largest monthly purchase since October 2023. Gold accounted for 8.5 percent of China’s total official reserves at the end of September, compared with 5.5 percent at the end of 2024.

Reserves are assets central banks hold to ensure they can meet international payments and respond to financial disruption. They usually include foreign currencies, foreign government debt and gold.

Private demand for gold within China has also risen, with purchases of gold bars and coins 28.4 percent higher in the first half of 2026 than during the same period last year, according to the China Gold Association. The buying of gold has continued amid falling prices, with gold down around 8.5 percent over the month.

The World Gold Council attributed the decline in gold prices partly to a stronger dollar and higher returns on US government debt. With interest rates going up in an attempt to curb inflation, these investments are attractive for buyers as they pay interest, making them more attractive to private investors than gold, which does not.

Why is China buying more gold?

A key objective is to reduce dependence on US government debt, known as Treasuries, according to Thu Lan Nguyen, head of commodity research at Commerzbank in Frankfurt.

China holds substantial reserves in dollar-based assets and, therefore, buying gold reduces its exposure to decisions taken in Washington. “China’s gold purchases are part of a broader effort to make its reserves more resilient,” Nguyen told Al Jazeera.

The freezing by Western countries of roughly $300bn in Russian Central Bank overseas assets following Moscow’s invasion of Ukraine in 2022 demonstrated how reserves held abroad can quickly become inaccessible.

The concern for China may be that a future confrontation with Washington could expose some of its overseas assets to similar restrictions. “Gold held domestically has a crucial advantage in this respect: it does not represent a claim on another country and is therefore much less exposed to sanctions or asset freezes,” Nguyen said.

“I would interpret it primarily as risk management,” she added, pointing to increased geopolitical tensions and economic and fiscal risks.

America’s rising debt, which hit $40 trillion for the first time in history earlier this year, adds another source of uncertainty. In February, the US Congressional Budget Office projected that federal debt held by the public would rise from 101 percent of the size of the US economy in 2026 to 120 percent in 2036. That provides context for concerns about Washington’s ability to repay that debt going forward should an economic crash occur. Much of this debt is held by China. Gold, therefore, offers a less volatile and risky asset to hold.

Chinese households have different motivations for buying gold. When confidence in other investments weakens, gold can become more attractive as a way to hold savings. “Strong demand for gold can partly reflect a search for alternative stores of value,” Nguyen said.

The World Gold Council has identified weak Chinese share markets as one factor supporting domestic demand for gold, while its property market is burdened by heavy borrowing and overbuilding, contributing to a fall in housing prices, making it a poorer investment.

What this means for the US dollar

Analysts warned that China’s increased buying of gold does not signal an imminent end to the dollar’s global dominance. “I would be cautious about describing this as a major shift away from the dollar,” Nguyen said. “The dollar remains by far the dominant global reserve currency.”

But a gradual shift could still matter if China and other central banks put more of their new reserves into gold, buying fewer US assets than they normally would. That could weaken one source of demand for US government debt. But the effect would depend on how widely and quickly the shift developed.

“The key point is, therefore, that this is likely to be a slow diversification process rather than a sudden abandonment of the dollar,” Nguyen said. She added that the consequences for the US economy would remain limited unless the trend broadened and accelerated substantially.

Central banks also need readily available foreign currency to support international payments and the dollar remains central to those transactions. So gold can provide financial protection, but it cannot directly replace all the functions of dollar reserves.

Who else is buying gold?

China is part of a wider trend, particularly among central banks in emerging economies, Nguyen said.

“The trend is particularly visible among emerging market central banks,” Nguyen said. “But sanctions are only part of the story.”

Poland has also become a more prominent buyer. Its central bank purchased 31 tonnes in the first quarter of 2026 and another eight tonnes in July, according to the World Gold Council.

Large holdings do not necessarily indicate recent purchases. India, for example, confirmed in June that its physical gold stock remained unchanged at about 880.5 tonnes. India’s gold reserves have changed little since mid-2025, according to the World Gold Council. It bought about four tonnes in 2025, down from 73 tonnes in 2024.

Despite China’s sustained buying, its reserves remain far smaller than those of the United States. Its holdings of about 2,300 tonnes at the end of 2025 amounted to less than one-third of the US stockpile of approximately 8,133 tonnes.

“The Palestinian question is the greatest historical injustice of this century,” China’s foreign minister said.

China’s Foreign Minister Wang Yi has told Israeli President Isaac Herzog during a meeting in Azerbaijan that Israel should stop and reverse its “forced establishment” of West Bank settlements, China’s foreign ministry said in a statement.

Wang told Herzog that China has consistently viewed the Palestinian question as the greatest historical injustice of this century, the ministry said in the statement on Friday.

Wang emphasised that the “two-state solution” is the right path to a resolution and said the immediate priority is to fully open access to the Gaza Strip so a humanitarian “catastrophe” is not allowed to spread.

Wang added that China is willing to work with the international community to push all parties to return to dialogue as soon as possible and seek a political settlement.

Wang is attending the Seventh Summit of the Conference on Interaction and Confidence-Building Measures in Asia, held in Baku, Azerbaijan, as the special representative of President Xi Jinping, China’s state news agency Xinhua reported.

China urges new Middle East framework

In September, Chinese President Xi Jinping visited Cairo for the first time in a decade and called on Middle East countries to oppose external influence and consider reshaping the region’s security order.

Xi’s rare visit arrived as Beijing seeks to expand its influence in the region amid the US-Israel war on Iran.

The talks covered the US-Israel war on Iran, with both presidents urging “diplomatic solutions” to reach a “comprehensive agreement to end the war”, according to a statement from Egyptian President Abdel Fattah el-Sisi’s spokesperson.

In March, China criticised the US and Israeli attacks on Iran, with Beijing demanding an immediate halt to the joint attacks. Wang told his Israeli counterpart, Gideon Saar, that the attack on Iran came as negotiations between Washington and Tehran had “made significant progress, including addressing Israel’s security concerns”, China’s foreign ministry said in a statement following the start of the war.

China was Iran’s largest trading partner, buying up to 90 percent of its oil, according to the US-China Economic and Security Review Commission. In 2021, Beijing signed a 25-year “comprehensive strategic partnership agreement” with Tehran.

At the same time, Beijing has spent the past decade cultivating closer ties with Gulf countries, including Saudi Arabia, Qatar and the United Arab Emirates, and remains a top trade partner of both the US and Israel.

WASHINGTON — New White House press secretary Katie Zacharia defended her legal background and justified her truncated inaugural briefing as she navigates a rocky first week as the president’s chief spokeswoman.

Zacharia sat down for an interview Thursday with the conservative Human Events outlet. In it, she said she did not have time to get fully prepared ahead of her first briefing on Tuesday and that it was always the plan to keep it short because President Trump would field questions from journalists later that morning.

“It was absolutely my goal to keep it short, considering he is his own best spokesperson, and he would love — and does love — gaggling with the media as he goes to Marine One,” Zacharia said. “So I wanted to give ample deference and not barge into his time.”

The initial briefing materials were given to Zacharia on Monday evening, then completed on Tuesday at 8 a.m., less than two hours before she would appear before the White House press corps. She had been up since 3 a.m. preparing, Zacharia said.

“I never had a full briefing beforehand, and I went out and I effectuated the briefing,” she said.

As for her legal background, Zacharia said she was preparing to take the bar exam in California at a time that she had just gotten married and was readying a move to China to join her new husband, who had been working in private equity in Beijing.

“I was obviously incredibly distracted and overwhelmed and excited for finally being married to someone who I’d been long distance from for at least a year,” Zacharia said.

She said the results of the bar exam, which she did not pass, were “somewhat inconsequential” because she would not need to be a barred attorney while living in China.

Zacharia, who has been under scrutiny for calling herself a “lawyer,” said she consulted several legal experts to ensure that title was accurate when offering legal analysis.

“It’s unfortunate that people dub this as some kind of conspiracy or want to put me in a camp. The truth is, I was very careful how I executed this, and I never came across as someone who was an attorney-at-law.”

She will not weigh in on legal matters in her White House capacity, Zacharia said.

She also divulged details of how she went about securing the White House press secretary job. Zacharia stressed that she did not want to be seen as lobbying for the position, left vacant when Karoline Leavitt announced she would depart the administration to spend more time with her family.

Zacharia, who was a communications advisor for the company that runs Truth Social, said she closely monitored the president’s social media posts to determine what was top of mind for him, then would go on air to talk about those topics.

“My philosophy is, I’m on TV enough where if he sees me and he likes me, then I will be recruited for the job. I do not believe that lobbying for that job would have been successful, and I wanted to work for it. I wanted to audition for it.”

Then on Oct. 7, as Zacharia was preparing to take one of her children to a pumpkin patch, she received a phone call from Trump about the press secretary position.

She promptly flew out the next day from her home in California to Washington, met with the president about the job on Friday and formally accepted the position later that day.

Kim writes for the Associated Press.

The long-delayed bridge will formally open on Thursday, according to China’s state-run Xinhua news agency.

China and North Korea will officially open the New Yalu River Bridge to traffic on Thursday, China’s state-run Xinhua news agency reports.

China completed its side of the bridge in 2014, hoping to boost trade ties. However, North Korea left its side unfinished for years as relations soured after Beijing supported United Nations sanctions over Pyongyang’s nuclear tests.

The first bridge connecting Russia and North Korea also opened earlier this month.

China-North Korea Relations  

China’s exports to North Korea rose to a six-year high of $2.3bn last year, a 25 percent increase from the previous year. Chinese President Xi Jinping was welcomed in Pyongyang in June for the first time since 2019.

Since 2018, Beijing has tried to repair ties with Pyongyang, which also briefly began improving relations with Washington around the same time.

The China-North Korea relationship was forged during the Korean War. In 1961, the two countries signed the Treaty of Friendship, Cooperation and Mutual Assistance, which remains China’s only formal military alliance.

The treaty contains a mutual defence clause committing either side to assist the other if one comes under armed attack.

Although China was North Korea’s main diplomatic partner and protector for decades, relations strained after Beijing in 2017 supported tightening sanctions on Pyongyang for its nuclear weapons programme.

Analysts say North Korea’s recent growing relationship with Russia may have changed the balance of Pyongyang’s diplomatic dependence, reducing its reliance on Beijing.

North Korea and Russia signed a comprehensive strategic partnership treaty in 2024, including a mutual defence provision. Military and political ties between the two countries have grown considerably stronger, with North Korea deploying thousands of troops to fight in Russia’s war on Ukraine.

United States President Donald Trump also signalled an interest in repairing relations with Pyongyang last month, after his talks with North Korean leader Kim Jong Un abruptly ended in 2019. In his second term, Trump has floated meeting Kim again, though no official meeting has been set.

North Korea has not yet resumed issuing tourism visas to Chinese citizens, who once made up the bulk of its overseas visitors.

While North Korea’s trade with Russia largely involves military supplies, exchanges with China could arguably involve goods North Korea needs to develop its civilian economy, analysts have said.

Chinese foreign ministry cites national sovereignty and Taiwan separatist activities as reasons behind the measures.

China has sanctioned Paraguay’s communications minister and Belize’s foreign minister over ties to Taiwan.

The Chinese Ministry of Foreign Affairs made the announcement on Monday, citing the safeguarding of China’s national sovereignty and opposition to Taiwan separatist activities as the reasons behind the measures, which went into effect the same day.

The measures against Paraguay’s Communications Minister Gustavo Villate and Belize’s Foreign Minister Francis Fonseca include the freezing of their assets in China and the denial of entry visas to Hong Kong and Macau.

The sanctions also prohibit Chinese organisations and individuals from engaging in transactions, cooperation or other activities with the ministers.

The Foreign Ministry said that “certain anti-China politicians” who are “driven by self-interest” have pushed their nations to maintain diplomatic relations with Taiwan.

Beijing said the ministers had “taken a series of egregious actions and statements”, which are “damaging China’s core interests”.

Paraguay and Belize are two of 12 countries that maintain formal diplomatic relations with Taiwan.

China views Taiwan as its territory, a view the island’s government strongly rejects.

The measures come two days after Taiwan’s National Day celebration.

In a National Day speech outside the Presidential Office on Saturday, Taiwan President William Lai Ching-te said the island “cherishes peace” and will “not give up our freedom”.

China’s Taiwan Affairs Office condemned Lai’s speech, saying it “disregards facts, ⁠distorts the truth, misleads the public, and reveals ulterior motives”.

In January, Chinese President Xi Jinping pledged to achieve the “reunification” of China and Taiwan, calling the goal “unstoppable”.

Diplomatic relations

Paraguay’s Communications Minister Villate marked Taiwan’s National Day with a social media post, saying: “Paraguay reaffirms its relationship of friendship and cooperation, based on shared values and principles: the self-determination of peoples, human rights and democracy.”

The Belize embassy in Taiwan also posted a message on its Facebook celebrating the 37th anniversary of their diplomatic relations.

“Together, we look forward to a future of growth, opportunity, and lasting friendship,” the embassy wrote.

Last month, Taiwan’s Foreign Minister Lin Chia-lung visited Belize. His ministry said the two sides had agreed to deepen ties.

Taiwan’s other allies in the Americas include Guatemala and Haiti. It also has formal diplomatic ties with three Caribbean islands.

The United States does not have ⁠formal diplomatic ties with Taiwan, but Washington is bound by law to provide the island with the means to ‌defend itself.

Earlier this month, the US delivered two fighter jets to Taiwan as the island seeks to build its defence capabilities to deter a feared attack from China.

Published on 09/10/2026 – 15:51 GMT+2•Updated
16:54

EU Trade Commissioner Maroš Šefčovič announced a deal with China on Friday to curb imports of Chinese hybrid vehicles into the EU and facilitate access to rare earths.

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While the understanding signals a preference for a diplomatic resolution to the growing trade imbalance, European leaders are pushing for stronger measures to level the playing field. They are expected to review the details at a summit in Brussels next week.

The EU has also floated retaliatory measures if the outcome falls short of expectations.

Šefčovič travelled to Beijing on Wednesday for two days of intensive talks with his Chinese counterpart, Wang Wentao, in a bid to rebalance EU-China trade relations.

The EU is facing a record trade deficit with China of €1 billion a day, as a surge in low-cost Chinese imports threatens entire sectors of European industry.

“We have reached a shared understanding to moderate China’s export of hybrids and plug-in hybrids to the European Union,” Šefčovič said. “This opens up the prospect of cutting China’s exports by more than half.”

The commissioner said the deal would also improve access to the Chinese market for a range of EU products, from “car parts to olive oil and footwear”, representing almost €4 billion in current export value. It should generate at least €225 million in duty savings, he added.

Market access has been at the heart of EU-China discussions since negotiations began last June. Beijing has been reluctant to relinquish access to the EU’s 450-million-consumer market, which provides an outlet for its excess production.

Meanwhile, Brussels has proposed several legislative measures aimed at restricting Chinese companies’ access to the European market, while pressing Beijing to open up its own market to EU businesses.

Šefčovič also said China had agreed to facilitate exports of rare earths, which are essential to Europe’s green technology, defence and automotive industries.

“We have reached a shared understanding to further facilitate China’s export licensing for rare earths and permanent magnets,” he said.

The EU has accused China of “weaponising” its dependence on Chinese rare earths after Beijing restricted exports in 2025 amid a trade war with the US.

Šefčovič described the agreement as the conclusion of a “first phase of negotiations”.

The deal comes ahead of a meeting of EU leaders in Brussels next week, with expectations running high for concrete results from negotiations led by the European Commission on their behalf since last June.

A consensus on China has been emerging across the EU this week.

All EU countries now run trade deficits with China. On Monday, Germany and France urged the European Commission to take strong action against unfair Chinese trade practices that cause severe market distortions.

In a joint document, Paris and Berlin called for measures that could include “an immediate cut-off from the internal market if needed”.

On Wednesday, MEPs overwhelmingly adopted a resolution calling for resolute measures against Beijing.

Meanwhile, 44 EU industries, including chemicals, machinery, metals, solar, glass and cement, issued a joint statement on Friday warning that “Europe cannot maintain and grow its industrial base, quality jobs, and attract investment without the ability to respond effectively to unfair trade practices and distortions”.

President Lai emphasises peace and freedom, vows not to tolerate aggression in Taiwan Strait.

Taiwan’s President Lai Ching-te has said the island “cherishes peace” and will “not give up our freedom” in a National Day speech outside the Presidential Office in Taipei.

Lai made the remarks on Saturday before thousands of people, including foreign diplomats.

“We are open to exchanges, but will not accept subordination,” he said. “Our aim by increasing investment in national defence is not to provoke; rather, it is to deter war.”

Taiwanese fighter jets and two Chinook helicopters carrying giant Taiwan flags flew over the capital ahead of the speech.

The holiday marks the 115th anniversary of a 1911 uprising that toppled China’s last imperial dynasty and led to the founding of the Republic of China.

Pressure from China

Taiwan’s 23 million people live under the constant threat of an attack by China, which insists the island is part of its territory, has never renounced the use of force to take it, and calls Lai a “separatist”.

Beijing has rebuffed his offers of talks.

Lai said China continued to “apply pressure through military and grey-zone activities in an attempt to alter the status quo across the Taiwan Strait”.

Grey-zone tactics are actions that stop short of open war. “Peace cannot rely solely on wishes, and tolerance cannot become a pretext for aggressors to encroach ever further,” he added.

Lai’s government has set aside a record 1.1 trillion New Taiwan dollars ($34.5bn) for defence in 2027, more than 3 percent of gross domestic product.

China held war games around the island shortly after Lai’s first National Day speech in 2024, but not last year. Its last drills near Taiwan were in late December, after news of an $11bn arms deal with Washington, the largest ever US weapons package for the island.

Lai said he welcomed talks between the United States and China, but insisted “there must be respect for the right of the people of Taiwan to exist”.

He urged democracies in the Indo-Pacific to join forces to preserve peace and stability in the region.

The US switched official diplomatic relations from Taipei to Beijing nearly 50 years ago but remains Taiwan’s most important security backer.

Officials in Washington and Taipei have repeatedly said US policy on Taiwan has not changed under President Donald Trump.

In May, after meeting Chinese President Xi Jinping in Beijing, Trump suggested arms sales to Taiwan could be a bargaining chip with China, which set off alarm across the world.

Taiwan is now waiting for Trump to sign off on $14bn worth of weapons, including the US-made Patriot air defence system.

The dispute dates back to China’s civil war, when the nationalist forces of Chiang Kai-shek retreated to Taiwan in 1949 after defeat by Mao Zedong’s communists.

The Republic of China remains the island’s formal name.

The State Department has accused the official of paying bribes to Fijian citizens to advance Chinese interests.

The US Department of State has publicly designated a Fiji-based man for his involvement in corruption on behalf of Chinese actors.

Zhao Fugang, the director of the Overseas Chinese Service Center, “abused his public position by paying bribes to Fijian citizens to advance China-based government, business, and criminal interests”, the State Department said in a press release on Wednesday.

“His actions constituted significant corruption and adversely affected U.S. interests in Fiji.”

The designation renders Zhao and his immediate family members “generally ineligible for entry into the United States”.

The US embassy in Suva, Fiji’s capital, said Zhao’s actions left the Pacific nation open to “malign foreign influence facilitated by Chinese government, business, and criminal actors”.

The embassy also said, “Public reporting shows an established trend of criminals operating across the Pacific with ties to China.”

Beijing says Overseas Chinese Service Centers help its nationals with administrative issues abroad, such as renewing driving licences. However, rights groups have alleged they are fronts for Beijing to push interests abroad, including the targeting of dissidents.

In February, the Trump administration sanctioned two leaders of Pacific island nations for alleged corruption tied to China. The US Department of State issued a notice alleging that Hokkons Baules, the president of Palau’s Senate, and Anderson Jibas, a former mayor in the Marshall Islands, had created openings for China to increase its influence in the region.

Talks will focus on the €1 billion daily deficit and rare earth export restrictions.

European Trade Commissioner Maros Sefcovic has arrived in Beijing for talks on the European Union’s (EU) growing trade deficit with China.

Sefcovic will meet Chinese Commerce Minister Wang Wentao on Thursday and Friday after months of discussions over the EU’s trade deficit of more than €1bn ($1.12bn) daily, as well as Chinese curbs on exports of rare earths and other critical minerals.

Meanwhile, Chinese companies are increasingly challenging Europe’s top car brands. China rejected the EU request for voluntary curbs on Chinese hybrid car exports as the two sides enter negotiations, the Financial Times reported on Wednesday. The European Commission now hopes to get Beijing to accept a unilateral EU measure to cap hybrid imports instead, the outlet said, citing two diplomats briefed on the plan.

The two days of discussions come just as a majority of EU lawmakers called for a more assertive trade policy towards Beijing in a non-binding resolution on Wednesday. China vowed a “resolute response” to safeguard its industries if the European Union goes ahead with restrictions against Chinese companies or products, according to its commerce ministry.

Germany and France propose rapid EU measure

French President Emmanuel Macron and German Chancellor Friedrich Merz, leaders of the bloc’s two biggest powers, on Tuesday urged the EU to prepare a “credible instrument” that could be quickly activated to strike back against countries that harm the bloc economically.

The new measure would not target any specific country. German officials said the EU needed a tool as powerful as the Section 301 tariffs imposed by the United States or China’s restrictions on critical-mineral exports.

The proposed weapon – to be discussed at an EU leaders’ summit next week – would give the European Commission the power to respond to a trade aggression within days.

China responded to the letter by urging Paris and Berlin to steer clear of “protectionist” measures.

“We hope that France and Germany, as major economies in the world, will uphold openness, cooperation and free trade,” the commerce ministry said in a statement.

“They should avoid going down the wrong path in the wrong way, only to ultimately suffer the consequences themselves.”

G20 finance leaders, except China’s, agreed in September to act against “non-market” distortions that exacerbate imbalances. Beijing says that hyping up issues such as economic imbalances and overcapacity is a form of protectionism designed to exert pressure on and restrict China.

Ongoing trade talks

EU and Chinese officials have been discussing trade imbalances since June. Sefcovic said he wanted “tangible results by October” as well as some form of commitment that can be put to EU leaders meeting in Brussels.

Trade relations with China top the summit’s agenda next week, as ballooning debt has prompted auditors to warn about the next seven-year EU budget and has spurred protests in France.

European Commission President Ursula von der Leyen told the European Parliament last month that the trade imbalance had reached a tipping point and that Europe would use every tool at its disposal to rebalance the relationship.

TORN on where to go on holiday next year? You’re in luck – the cool new places have been revealed.

Skyscanner’s Travel Trends 2027 report has looked at which destinations are seeing the biggest year-on-year searches.

This means these are the destinations which are seeing a boom in interest in demand, and much higher than the year before.

Skyscanner boss Bryan Batista said: “Travel is entering a new era.

“As people become more intentional about how they spend their time and money, they’re making different choices about where they go, how they book and what creates lasting value.”

So here are the top 10 destinations set to be the next big thing for Brits next year.

GO BIG

Foreign holiday destinations set to be big in 2027 – including Europe’s Maldives

TAKE OFF

First look at new £1.1bn airport terminal opening at trending holiday destination

1. Bishkek, Kyrgyzstan

The destination with the biggest boom in searches is Bishkek in Kyrgyzstan.

Searches are up 501 per cent, which could be accredited to it featurin in this year’s Race Across The World.

Expect Soviet architecture and leafy parks overlooked by the Tian Shan mountain range.

You’ll have to stopover to get to Bishkek, with common flight routes being with Pegasus or Turkish Airlines via Istanbul, taking around 10 hours.

2. Hurghada, Egypt

Hurghada might not be little-know, being a popular winter sun holiday destination.

Yet searches there are up 186 per cent, most likely up after seeing a slight drop by the Middle East conflict earlier this year.

The Egyptian resort is loved by those wanting to fly and flop, or is big with divers.

You can easily find holiday packages to Hurghada with seven nights for as little as £249pp with loveholidays.

3. Malmö, Sweden

Forget Stockholm, Malmo is the trending destination in Sweden.

With searches up 103 per cent, it makes a great alternative city break that is quieter than the other busier cities.

It’s hard not to spot the huge Turking Torso skyscraper, as well as its beautiful castles (and much-loved falafel street food scene).

EasyJet has recently launched new city breaks to Malmo – or you can fly there with Ryanair for £14.99, taking just 1hr50.

4. Trapani, Italy

Sicily’s Trapani, a coastal city in the west, has seen a boom by 95 per cent in searches.

The huge Greek temple of Segesta is its main attraction, dating back to 430BC.

Otherwise it is used as a popular jumping off point to explore the Egadi Ilands.

Direct flights with Ryanair can be found from Bournemouth for £14.99.

5. Samos, Greece

Forget Mykonos and Santorini – after all, Greece has hundreds of other islands to explore without the crowds.

And Samos has seen an increase in searches, up 75 per cent.

Actually nearer to Turkey than Greece, expect all the classics – ancient ruins, beautiful beaches and a fantastic food scene.

Jet2 has added new flights, while TUI has said it is set to be big as well.

6. Chongqing, China

If you’ve ever wanted to step into the set of Blade Runner, you need to head to China’s cyberpunk city of Chongqing.

The city – which has seen searches up 70 per cent – has huge skyscrapers best seen lit up at night.

China is having a moment too, with visas scrapped for Brits until the end of the year, and seeing a huge boom in tourism.

You can even fly there direct with Tianjin Airlines, taking around 11 hours.

7. Da Nang, Vietnam

Vietnam is often named as one of the most affordable holiday destinations, yet most trend to travel to Hoi An or Ho Chi Minh.

Yet the beach city of Da Nang has seen searches increase by 68 per cent according to Skyscanner (just after it was named a top 2027 holiday destination by Lonely Planet too).

There’s white sand beaches, but it is also, bizarrely, famous for its two beaches – Golden Beach, which is held between two huge stone hands, or Dragon Bridge which is shaped like the creature itself.

To get there, it is best to fly via places like Singapore or Bangkok, or a short domestic flight from other cities in Vietnam.

8. Sal, Cape Verde

Cape Verde remains a popular winter sun destination for Brits.

And a 67 per cent increase in searches to Sal means it is getting even more popular.

Hot weather all year round, no jet lag and short direct flights – all you’d need from a warm break from the UK

Flights to the African island are direct, with tour operators like TUI offering affordable package holidays.

9. Kittilä, Finland

If you want the ideal Christmas break, where better than Lapaland?

With searches up 65 per cent, Kittilä in Finland has it all husky sledding, reindeer safaris and and Northern Lights.

You an even head over to Levi for some fantastic skiing too.

EasyJet fly direct, and they start from £28.99.

10. Guatemala City, Guatemala

The last trending destination on the list is Guatemala City which has seen searches increase 63 per cent.

It is actually the biggest capital in Central America, with everything you could want – fantastic coffee scene and historic museums.

The scenery is pretty stunning two, with a number of volcanoes being the backdrop.

Guatemala’s tourism minister suggested earlier this year that more flights from Europe could connect to the city – but until then, you’ll have to fly via Madrid with Iberia.

Published on
07/10/2026 – 17:07 GMT+2

The European Parliament has called for tougher action against China’s economic coercion and support for Russia, warning that relations with Beijing have reached a “critical point”.

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MEPs backed the resolution by a landslide on Wednesday, urging the EU to consider deploying its powerful Anti-Coercion Instrument if Beijing weaponises Europe’s dependence on critical raw materials.

The vote came as EU Trade Chief Maroš Šefčovič was flying to Beijing for crunch talks aimed at rebalancing the increasingly strained trade relationship.

October is shaping up to be a crucial month for EU-China relations. EU leaders, whose countries now all run trade deficits with China, are pressing the European Commission to deliver concrete results from negotiations with Beijing.

Tensions also extend well beyond trade. The EU has become increasingly alarmed by Beijing’s close relationship with Moscow and its role in sustaining Russia’s full-scale invasion of Ukraine.

“The relations have now reached a critical point, mostly due to China’s unfair economic practices such as dumping and spying and its position on Russia’s war of aggression against Ukraine,” the resolution adopted by EU lawmakers reads.

The text was backed by 454 MEPs, with 86 voting against and 110 abstaining.

Lawmakers described China’s role in the Ukraine war as that of “a decisive enabler”, pointing to “Chinese diplomatic backing and material assistance that sustains the Russian military-industrial complex”.

Pressure to use anti-coercion tool

They also call on EU countries and the Commission to “urgently” take action on “the weaponisation of critical dependencies by China.”

Europe felt the vulnerability of those dependencies in 2025, when China restricted exports of rare earths, which are vital to the EU’s automotive, defence and clean-tech industries, amid its escalating trade war with the United States.

The MEPs said the EU should consider using the Anti-Coercion Instrument (ACI) when China instrumentalises such EU dependencies.

The ACI is an EU mechanism that allows the bloc to adopt radical measures – up to restrictions on licences and intellectual property rights – against a third country that uses economic coercion against the EU.

China’s dominance of the production and processing of strategic raw materials has become a major sticking point in trade negotiations, giving Beijing considerable leverage as Brussels seeks to curb its dependence on Chinese imports.

A Commission proposal pushing companies to diversify their suppliers in strategic sectors is in the making and should be presented by the end of the year.

The resolution comes two days after Germany and France harden their stancetowards Beijing, calling for a new trade tool that could allow the Commission to impose measures leading to “an immediate cut-off from the internal market if needed”.

Coco Gauff said she had a “draining” few days after receiving racist abuse online before her fourth-round China Open exit.

The American received an “insane” amount of racist comments and direct messages following an incident in her third-round win over 16-year-old Sun Xinran on Monday.

China’s Sun thought she had hit a winner late in the first set, but Gauff raised her hand to halt play because of a flickering light in the side panels surrounding the court.

After a video review – which players are allowed to request – the point was replayed, with Gauff winning it and subsequently going on to clinch the match.

The 22-year-old posted a lengthy statement explaining what had happened and later condemned the racist abuse she received in response.

Gauff was beaten 6-3 6-3 in her next match against Elise Mertens on Wednesday.

Asked how she had felt over the past 36 hours, Gauff said: “It has been kind of draining, I’m not going to lie.

“I just turn off my phone and move on. I mean, there’s nothing you can do.”

A spokesperson for the Women’s Tennis Association said it was appalled by the abuse. It said it was in contact with Gauff “to offer our full support”.

A statement given to the news agency AFP said the governing body was “seeking action” against the abusive content.

Gauff, who won the title in Beijing in 2024, committed 34 unforced errors and eight double faults against Mertens.

“I was just a bit flat. That’s the main thing,” Gauff said.

“The level was there at some points, I just didn’t sustain it the whole match.”

Belgium’s Mertens will play former world number one Iga Swiatek in the quarter-finals after the six-time major champion beat American teenager Iva Jovic 6-1 6-3.

Elsewhere, Britain’s Arthur Fery beat Marin Cilic 7-6 (7-2) 6-1 in the Shanghai Masters first round.

Fery came back from a break down in the first set before dominating the former US Open champion in the second to claim his first ATP Tour win since August.

The 24-year-old will face Russia’s 26th seed Karen Khachanov next.

THE top cities in the WORLD have been announced from far-flung Asia to the ‘city of love’ that has cheap UK flights.

Readers of Conde Nast Traveller voted for their “favourite urban sprawls across the planet” to decide which ones are the best and it might be time to book that bucket list trip to Thailand.

Taking the number one spot on the list is Bangkok which was praised for its “buzzy markets, glittering palaces and captivating religious sites unite – street food sellers dishing up tasty food between them all, of course.”

When Assistant Travel Editor Sophie Swietochowski visited Bangkok she picked up tasty dishes for the equivalent of £1 – you can also pick up beer for as little as £1.14 according to Wise.

She said: “Within an hour of being in Thai capital Bangkok’s Chinatown we have sampled street food including noodle soup splashed with vinegar, fish sauce and sugar; crunchy corn parcels.

“A bowl of salty critters, displayed next to a row of scorpions on sticks; purple mashed potatoes shaped into doughy, salty balls; and traditional sweet luk chup, made with mung beans.”

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She also visited Lebua Hotel’s Sky Bar, which was the filming location from 2011 buddy comedy film The Hangover 2 and it’s home to the “world’s highest open-air whisky bar”, Alfresco 64.

The city coming second on the list is much closer for Brits to visit, it’s Paris.

The French capital is said to have “topped bucket lists of international travellers for centuries thanks to an unrivalled food culture, grand monuments, world-class museums and subtly seductive atmosphere.”

From the UK it’s easy to reach the French capital either on the Eurostar or plane with one-way flights as little as £13.

There’s so much to do in Paris from sight-seeing landmarks like the Eiffel Tower or wandering around the Louvre.

When Travel Reporter Alice Penwill ventured to Paris for an extreme daytrip on the Eurostar she had some suggestions on how to spend time there.

She said: “To start the morning off right, it would be a crime not to pop into one of Paris’ many bakeries, or boulangeries, for a croissant and a coffee.

“Take one to go and stroll along the Seine before heading into the Musée  d’Orsay where you can see work by artists like Monet, Renoir and Van Gogh.

“Afterwards, head back along the Seine to see the beautiful Notre Dame which has now reopened to visitors. And if you’re a fan of books, pop across to the famous bookshop, Shakespeare And Company.”

Turkey’s capital, Istanbul was named the third best city in the world which was called “chaotic in all the best ways.”

The publication said: “Centuries of history sit alongside a vibrant contemporary culture, with new waves of artisans luring travellers into chic boutiques after tours of places like Topkapı Palace, the Blue Mosque and the sweet-scented Grand Bazaar.”

Meanwhile, Deputy Travel Editor Kara Godfrey suggests visiting the Karaköy neighbourhood which is set on Istanbul’s European side.

She described it as a “trendy pocket of an otherwise busy, but beautiful city.”

If you wander into Karaköy’s backstreets and climb towards neighbouring Galata, you’ll find that cobbled lanes and historic buildings lead to the landmark Galata Tower.

Head up for spectacular views across the Golden Horn, Bosphorus and historic peninsula – it’s especially beautiful in the late afternoon.

Valletta in Malta comes in at number five and it’s a popular spot for Brits thanks to its 300 days of annual sunshine.

Even in November it can see highs of 18C – and it’s reachable from the UK in just over three hours and flights are as little as £15.

It was voted last year’s top city thanks to its mix of ancient but also modern feel and architecture.

Other popular winter sun destinations that made the list include Cape Town in South Africa which in January and February has highs of 25C – while the UK shivers in highs of 8C.

There’s also no jet lag because Cape Town is either one or two hours in front of the UK – depending on the time of year.

When Head of Travel (Digital) Caroline McGuire visited, she saw Table Mountain, lots of wildlife, vineyards and was impressed with an area called Kalk Bay.

She said: “At the town’s upmarket Harbour House restaurant, we dined on seafood and good wine for the price of a Pizza Hut meal in the UK — all while watching seals swimming in the harbour. 

“Our accommodation was the charming Chartfield Guesthouse, staying in a huge two-bedroom apartment. It was bigger than my house back home, and cost only £94 a night. 

“Kalk Bay is a prime spot for visiting the endangered African penguins of neighbouring Simonstown – there must have been around 100 on the town’s shoreline.”

These are the top 20 cities according to Conde Nast Traveller…

1. Bangkok, Thailand – score 97.68
2. Paris, France – score 97.14
3. Istanbul, Turkey – score 96.67
4. Rome, Italy – score 95.96
5. Valletta, Malta – score 95.76
6. Shanghai, China – score 95.19
7. Tokyo, Japan- score 94.76
8. Seoul, South Korea – score 93.76
9. Sydney, Australia – score 92.72
10. Amsterdam, Netherlands – score 92.44
11. Stockholm, Sweden – score 91.17
12. Vienna, Austria – score 90.97
13. Lisbon, Portugal – score 89.70
14. Hong Kong – score 89.47
15. Cape Town, South Africa – score 88.33
16. Porto, Portugal – score 87.78
17. Madrid, Spain – score 87.70
18. New York, United States – score 86.47
19. Jaipur, India – score 86.22
20. Singapore – score 85.85

Novac Djokovic won 102nd match of his career, while ATP 500 tournament victory was Carlos Alcaraz’s third of the year.

Novak Djokovic won the China Open after his opponent Alex de Minaur retired from the final with injury, while Spaniard Carlos Alcaraz retained his Japan Open crown to continue his resurgence after a lengthy wrist injury layoff.

The 39-year-old Serbian won the first set in the tie-break 7-6 (7-3) and was down a game in the second set when the Australian ended the match with retirement on Tuesday.

Djokovic extended an astonishing unbeaten streak in Beijing and winning the 102nd title of his career.

De Minaur left the court for a medical timeout after losing the first-set tie break but played on with his left thigh heavily bandaged. However, he had to stop after winning the first game of the second set, leaving him trailing 7-6(3) 0-1.

“I don’t feel great … I want to say sorry to all the amazing fans,” de Minaur said at the trophy presentation.

“I didn’t want to finish like this … hopefully see you next year,” added the 27-year-old fifth seed.

Alcaraz retains Japan Open crown

Alcaraz made another slow start before cruising past unseeded Czech Jiri Lehecka 7-6(4) 6-4 in the Japan Open final on Tuesday.

The ATP 500 tournament victory is Alcaraz’s third of the year after the Australian Open and Qatar Open, before the 23-year-old was sidelined by an injury for nearly five months and returned at the US Open in late August.

“I’m really happy to be able to lift a trophy again,” Alcaraz said. “It’s been a while and obviously it’s extra special after my injury and my comeback, in the second tournament that I’m playing.

“It was a really tough week and I didn’t play my best tennis and my best level but I did find good solutions and that’s what matters in the end.”

Alcaraz became the first man to go back-to-back in Tokyo since American Pete Sampras won the men’s title in both 1993 and 1994.

The world number three started shakily, dropping serve in the first game, but soon recovered and dialled up the intensity to break world number 19 Lehecka’s serve with a scorching backhand to level at 3-3.

More uncharacteristic errors from Alcaraz gave Lehecka hope in the tiebreak, but the Spaniard unleashed a sublime drop-shot en route to clinching the opening set to lay the platform for his 27th title overall.

Alcaraz says he ‘trusted’ himself

The seven-time Grand Slam champion took control midway through the second set, breaking to claim a 4-3 lead before sealing victory by forcing an error on match point and then celebrating wildly with his team courtside.

Alcaraz said his triumph helped erase the doubts that he faced during his injury break.

“A lot of negative thoughts come to your mind,” Alcaraz added: “If you’re going to come back healthy, if you’re going to come back the same as you were before, if I will be able to hit the ball normally without pain. I trusted myself and it worked out.”

Alcaraz will return to action at the Shanghai Masters where he will take on Argentina’s Juan Manuel Cerundolo or a qualifier first. The main draw of the ATP 1000 event begins on Wednesday.

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