The Chinese Economy Beats Expectations

A Better-Than-Expected Result for the Chinese Economy

- China’s economy expanded by 5.2% on a year-on-year basis in the second quarter of 2025, a better performance than had been expected.

- China’s manufacturing sector continued to grow at a solid pace, despite the ongoing trade dispute with the United States and other trading partners.

- In contrast, domestic demand in China remained relatively weak, despite efforts by Beijing to enact major stimulus programs designed to boost consumer spending

- The world’s second-largest economy is forecast to slow in the second half of this year as trade tensions persist.

- Nevertheless, China's economy appears on track to exceed the growth forecasts for 2025 that most economists had set for China at the beginning of this year.