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"But there is no need to panic. The contraction in earnings of most industrial sectors should substantially narrow in the second half of the year as domestic demand recovers," Yang said. He also underscored the importance of offering more tax relief and financial aid to hard-hit exporters as well as small businesses.

"China has always responded reciprocally," he said of the WTO filing and Chinese investigation announced this week on US sorghum exports to China.

"By combining Alibaba's massive data assets, businesses can identify, segment and build tailored content for the best results," he said.

"But there might have been a time where their physicality could no longer be sustained."

"China has come a long, long way. It's been credited for that," he added.