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Chinese New Year is the moment a new zodiac year begins in the cycle of 12 years that are each represented by an animal. The Chinese calendar is lunisolar, which means the festival falls on different dates each year. In 2018, the animal will switch from the Rooster to the Dog.

China's stock market is currently the third-largest globally, but the percentage of stocks held by foreign investors has for years stayed around the 2 percent mark. Analysts believe the MSCI index inclusion effect will gradually drive more funds into Chinese stocks over the next few years.

Chinas latest action came after the US government started to impose punitive tariffs on billion of Chinese imports on Friday. China then retaliated by levying duties of the same amount to defend its interests.

China's trade performance got off to a strong start this year, thanks to the steady recovery of the world economy, sustained demand in the domestic market and the Belt and Road Initiative, Huang said.

China's top-three home-grown electric car battery makers - Contemporary Amperex Technology, BYD and Guoxuan High-Tech - are the primary targets for the car manufacturers.