China’s venture capital (VC) landscape recorded increases in both funding value and deal volume during the first three quarters (Q1-Q3) of 2026 compared to the same period in the previous year. However, the increase was more prominent in terms of value, highlighting renewed investor appetite for high-growth opportunities. The total number of VC deals announced in China increased by 33% during Q1-Q3 2026 compared to Q1-Q3 2025 while the corresponding total funding value surged by 212% year-on-year (YoY), according to GlobalData, a leading intelligence and productivity platform.

An analysis of GlobalData’s Financial Deals Database reveals that China’s funding value growth significantly outpaced the 137% YoY increase recorded globally during the period. The country’s deal volume growth also exceeded global deal volume growth, which remained broadly stable over the same period.

Aurojyoti Bose, Lead Analyst at GlobalData, comments: “China’s VC market delivered one of the strongest performances among major global ecosystems during the first three quarters of 2026. The combination of stronger transaction activity and substantially higher capital deployment indicates that China’s VC market benefited from both broader investor participation and a greater concentration of large-scale financing rounds.”

China accounted for a 22% share of the total number of VC deals announced globally during Q1-Q3 2026, making it the second-largest market worldwide by transaction activity. Its share of global funding value stood at 10%, also ranking second globally, although this remained substantially below the US share of 72%.

Bose adds: “The gap between China’s share of deal volume and it share of funding value suggests that the country maintains a broad and active venture pipeline, while the US continues to attract a greater concentration of the largest funding rounds.”

It is noteworthy that the US recorded a more modest 2% YoY increase in deal volume but achieved a 161% YoY rise in funding value, retaining a substantial lead in global value share. The UK experienced a 1% YoY contraction in deal volume, although its funding value expanded by 77% YoY. India faced weaker momentum, with deal volume declining by 12% YoY and funding value decreasing by 3% YoY.

Bose concludes: “China’s venture market is regaining momentum, but sustained growth will depend on robust funding levels and continued participation from international and domestic investors. The near-term trajectory is likely to favor companies with clear commercialization pathways, strategic relevance, and the scale to compete in global technology markets.”

Note: Historic data may change in case some deals get added to previous months because of a delay in disclosure of information in the public domain.