🔗 Share this article

China's economic expansion decelerated during the three months concluding in the end of September as commercial disputes with the United States escalated.

The global number two economy grew by 4.8% compared to the same period in 2024, representing its weakest pace in twelve months, according to official figures released on Monday.

This financial information surfaces following China's enforcement of comprehensive restrictions on its exports of rare earths - critical minerals for worldwide electronics production, a decision that rocked the fragile commercial ceasefire with the US.

The three-month period gross domestic product expansion will set the tone for a meeting of China's senior officials this coming days to discuss the country's development plan covering the period between twenty twenty-six and 2030.

Important Economic Indicators

The four point eight percent expansion in the July-September period signified a slowdown from the five point two percent recorded in the quarter concluding in July.

China's statistical authority announced the economic system displayed "strong resilience and dynamism" against international challenges, crediting growth in its technology sector and commercial services as primary growth drivers.

The Chinese government has established a target of "around 5%" economic expansion this year and has so far prevented a sharp downturn, supported by state intervention policies.

International Commercial Developments

US President Donald Trump responded swiftly to China's controls on critical minerals by proposing extra 100% tariffs on goods from China.

US Treasury Secretary Secretary Bessent stated he expects to meet Chinese officials this week in Malaysia in an attempt to reduce friction and arrange a meeting between the US President and his counterpart President Xi.

Prior to the recent escalation, China's companies had capitalized of the trade truce with the United States to ship goods to the American market, resulting in China's overseas shipments rising by eight point four percent in last month.

Industry Performance

The total value of foreign goods to the country was likewise up, while China's manufacturing production expanded by 6.5% last month from a previous year.

Producers in 3D-printing, automation technology and EVs were among its best-performing sectors, while the service sector, which includes IT support, consultancies, and transport and logistics, also showed expansion.

The Chinese economy continues to demonstrate remarkable resilience despite increasing international commercial challenges and internal economic adjustments.