Business confidence hits four-year high across Greater Bay

In The News

Business confidence across the Greater Bay Area (GBA) surged to its highest level in four years in the third quarter of 2025, fueled by strong manufacturing recovery in Guangdong’s nine mainland cities and easing global trade tensions.

According to the Standard Chartered GBA Business Confidence Index, the “current performance” indicator rose to 54.7 in Q3 from 53.1 in the previous quarter, while the “expectations” index climbed to 55.7, reflecting optimism about future growth, ACN Newswire reported yesterday. Analysts cited by Hong Kong media attributed the upturn partly to a temporary U.S.–China tariff truce, which stabilized exports from Shenzhen, Dongguan, and Guangzhou.

In Guangdong, several cities reported exceptional industrial performance. Dongguan’s server production increased 408.8 percent year-on-year in the first half of 2025, while Huizhou recorded sharp gains in electronics and renewable energy output, according to the Guangdong Foreign Affairs Office (en.gdfao.gov.cn). The data underscore the region’s rapid shift from traditional manufacturing to advanced, high-value industries such as AI hardware, robotics, and clean tech.

Economists say the trend reflects the success of the GBA’s industrial transformation strategy, which seeks to merge manufacturing with innovation. “Guangdong is transitioning from a world factory to a world laboratory,” said one analyst quoted by The Standard.

Despite lingering uncertainties in global demand, business surveys show firms are expanding investment in R&D and cross-border partnerships, particularly between Shenzhen and Hong Kong. Observers say sustained confidence could help the GBA consolidate its role as China’s southern economic powerhouse. By Times Reporter