China’s Economy Grows at Slowest Pace in a Year as Trade Pressures Mount

Hadisur Rahman, JadeTimes Staff

H. Rahman is a Jadetimes news reporter covering Business

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Image Source: AFP/ Getty Images

China’s economy expanded by 4.8 percent in the third quarter compared to the same period last year, marking its weakest growth rate in a year and highlighting the mounting challenges Beijing faces amid global trade tensions and a softening domestic market.

The result falls short of the country’s annual growth target of "about 5 percent," raising concerns as leaders convene to chart the next five-year economic plan. The slowdown reflects a troublesome mixture of weak domestic demand, a stressed real-estate sector, and escalating external pressures.

Industrial output did show some resilience, rising 6.5 percent in September from a year earlier. Yet property investment dropped nearly 14 percent in the first nine months of the year, amplifying worries about the housing market’s ripple effect on consumer confidence and economic activity.

Export growth remains the standout contributor, helping offset some of the domestic drag, but analysts warn that this export-driven model is increasingly fragile in the face of shifting global sentiment and trade disruptions. With key leaders gathering at the upcoming plenum, policymakers are expected to double down on high-technology investment, industrial self-reliance, and other state-driven strategies to bolster growth.

Observers caution that unless domestic consumption is revived, China’s longer-term trajectory may face greater strain. The combination of a depressed property sector, faltering domestic spending, and volatile external conditions suggests that while growth is holding, it may be at a lower threshold and less sustainable than headline figures imply.

As China’s leadership prepares for face-to-face talks with U.S. officials and positions itself for the next phase of economic development, the latest numbers underscore the balancing act ahead: reconciling external diplomatic and trade pressures with the urgent need to reignite internal demand and rebuild momentum.