🔗 Share this article

The Chinese economic expansion slowed during the quarter concluding in the end of September as trade tensions with the US escalated.

The global number two economy expanded by four point eight percent compared to the same period in 2024, representing its slowest rate in a full year, according to official figures published on the start of the week.

This financial information emerges following China's implementation of comprehensive restrictions on its exports of strategic minerals - critical minerals for global technology manufacturing, a decision that disrupted the fragile commercial ceasefire with the United States.

The third quarter gross domestic product growth will set the tone for a meeting of China's senior officials this week to discuss the nation's economic blueprint covering the years between 2026 and 2030.

Important Economic Indicators

The four point eight percent expansion in the July-September period represented a reduction from the 5.2% registered in the three months concluding in mid-year.

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

The Chinese government has established a target of "approximately five percent" economic expansion this calendar year and has so far avoided a sharp downturn, supported by government support measures.

International Trade Developments

American leader Donald Trump responded promptly to China's restrictions on critical minerals by proposing additional 100% tariffs on imports from the Asian nation.

US Treasury Secretary Scott Bessent stated he expects to meet China's representatives this coming days in Southeast Asia in an attempt to reduce friction and arrange a summit between the US President and his counterpart President Xi.

Prior to the latest escalation, China's companies had taken advantage of the commercial ceasefire with Washington to export products to the American market, resulting in China's overseas shipments increasing by eight point four percent in last month.

Sector Results

The total value of imports to China was likewise up, while China's manufacturing production grew by six point five percent last month from a year earlier.

Producers in 3D-printing, automation technology and EVs were among its best-performing sectors, while the services industry, which includes technology services, consultancies, and shipping companies, also showed expansion.

The Chinese economy continues to show significant durability despite increasing international trade pressures and internal economic adjustments.