China's Economic Growth Slows as Trade Disputes with US Flare Up
The Chinese economic growth decelerated during the three months ending in September as trade tensions with the US intensified.
The global number two economy expanded by 4.8% compared to the same period in 2024, representing its slowest rate in a full year, according to government statistics published on Monday.
This financial information emerges following China's implementation of comprehensive restrictions on its shipments of rare earths - critical minerals for worldwide technology production, a decision that disrupted the delicate trade truce with the US.
The third quarter gross domestic product growth will establish the atmosphere for a meeting of China's top leaders this coming days to examine the country's development plan covering the period between 2026 and 2030.
Key Financial Metrics
The four point eight percent expansion in the third quarter represented a slowdown from the five point two percent recorded in the three months ending in mid-year.
China's statistical authority stated the economic system displayed "strong resilience and vitality" against external pressure, attributing momentum in its technology sector and commercial services as key expansion factors.
Beijing has set a target of "approximately five percent" economic expansion this calendar year and has so far prevented a sharp downturn, supported by government support measures.
International Commercial Developments
American leader Donald Trump reacted promptly to China's restrictions on critical minerals by proposing additional double duties on imports from China.
American finance official Scott Bessent stated he expects to meet China's representatives this week in Malaysia in an effort to reduce friction and organize a meeting between Trump and his Chinese equivalent President Xi.
Prior to the recent flare-up, China's companies had taken advantage of the trade truce with Washington to export products to the US, resulting in China's exports increasing by eight point four percent in September.
Sector Performance
The total value of imports to the country was also higher, while China's industrial output grew by 6.5% last thirty-day period from a previous year.
Manufacturers in 3D-printing, robotics and electric vehicles were among its strongest performers, while the services industry, which includes IT support, consultancies, and transport and logistics, also showed expansion.
The Asian economy continues to show significant resilience despite growing global commercial challenges and internal economic adjustments.
