Mining Expert Calls "#1 China Economics: Resilience" Allsop

Research evidence excerpt

Mining Expert Calls "#1 China Economics: Resilience" Allsop

Global Research

19 May 2026ab

Mining Expert Calls Equities

Global#1 China Economics: Resilience

Basic Materials

Myles Allsop

We hosted UBS's Yu Song in Part 1 of our China Expert Call series Analyst

UBS Chief China Economist, Yu Song, sees a resilient China macro picture in 2026, with myles.allsop@ubs.com

strong growth at the start of the year supported by exports and improving domestic +44-20-7568 1693

demand; deflationary pressures have eased, whilst financial and geopolitical conditions Yu Song

have remained relatively stable. April data softened with slower growth and oil-driven Economist

inflation (note), which Yu attributes to policy tightening rather than structural weakness; S1460526010002

Yu expects more supportive policy to lead to a recovery in economic data, given China's yu-za.song@ubs.com

typically short policy lag. On commodity demand, we expect a continued structural shift +86-10-5832 8508

away from traditional end use sectors (i.e. steel in construction and property) towards Daniel Major

'new' infrastructure and energy transition-related investment (i.e. copper and Analyst

aluminium). daniel.major@ubs.com

+44-20-7568 3472

Property: The property market remains weak, but is showing early signs of

Amy Yi Li

stabilisation (in transaction volumes and sentiment) following cumulative policy Analyst

easing. Our economist continues to see structural issues, e.g. demographic decline amy-yi.li@ubs.com

and excess inventory in lower-tier cities, which remain significant; as such, recovery +44-20-7568 2064

will likely be uneven and concentrated in top-tier cities. Policy easing momentum

George Eadie

has continued to wane for the sector (as growth in export & 'new economy' Analyst