China’s venture capital (VC) market recorded strong performance in 2026, with the first eight months seeing double-digit year-on-year (YoY) growth in deal volume and a significant surge in funding value. The total number of VC deals announced in China increased by 31% during January–August 2026 compared to the same period in 2025, while the corresponding total funding value registered a massive jump of 223% YoY, according to GlobalData, a leading intelligence and productivity platform.

Aurojyoti Bose, Lead Analyst at GlobalData, comments: “The performance positions China as one of the fastest-growing major VC markets globally by both transaction activity and capital raised.”

China’s deal volume growth significantly outpaced that of the global market, where transaction activity declined by 0.3% YoY. It also exceeded the growth rates of 4% recorded in the US and 1% in the UK. The increase in funding value was even more pronounced, China’s VC funding growth exceeding the 197% increase recorded by the US and substantially outpacing the UK’s 130% expansion.  

An analysis of GlobalData’s Financial Deals Database reveals that China accounted for a 23% share of the total number of VC deals announced globally during January-August 2026, up from a 17% share during January–August 2025. Meanwhile, its share of global deal value also increased from 8% to 10% during the same period. China’s share of global VC activity remained the second highest globally, behind only the US.  

Bose adds: “The combination of stronger deal activity and funding value growth indicates that investor confidence in China improved considerably, with some companies capable of attracting larger financing rounds.”

Some of the notable VC funding deals announced in China during January–August 2026 included over $7 billion raised by Hangzhou DeepSeek Artificial Intelligence, $3.5 billion secured by Beijing Moonshot AI Technology, and $1.9 billion raised by Shanghai Spacecom Satellite Technology, among others.

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.