China’s economy grows at slowest annual pace in a year

China’s economy recorded its slowest annual expansion in a year during the July-to-September period.

China’s economy remained on track to meet its 2025 growth target, even as it recorded its slowest annual expansion in a year during the July-to-September period, weighed down by trade tensions with the United States and weak domestic demand.

Official data released on Monday showed gross domestic product grew 4.8% in the three months ended September from a year earlier, exceeding analysts’ expectations of 4.7%. That marked the slowest pace since the third quarter of 2024, after a 5.2% increase in the previous quarter.

The statistics bureau said growth in the first three quarters of the year laid a solid foundation for achieving the full-year target of around 5%.

From January to September, the world’s second-largest economy expanded by an annual rate of 5.2%, despite high tariffs imposed by US President Donald Trump on imports from China. Beijing maintained relatively strong exports by redirecting shipments to other global markets.

Fixed-asset investment, including real estate, fell 0.5% in the first nine months of the year as spending on infrastructure and manufacturing slowed, compared with expectations for a 0.1% rise.

Industrial output grew 6.5% in September, beating forecasts of a 5% increase, after expanding 5.2% in August.

Retail sales rose 3% year on year in September, matching expectations but slowing from a 3.4% increase the previous month.

The urban unemployment rate edged down to 5.2% in September from 5.3% in August.