China GDP Grows 5.2% in Q2 2025, Weakest Pace Since 2024 but Beats Forecasts

China GDP for Q2 2025 shows the economy grew 5.2% year-on-year in Q2 2025, slowing from 5.4% in the prior two quarters and marking its weakest pace since Q3 2024. However, the China GDP Q2 2025 figure slightly outperformed market expectations of 5.1%, offering a modest relief to policymakers striving to stabilize growth amid a fragile trade truce and global economic uncertainty.

Key Takeaways from China’s Q2 GDP Report

• GDP expanded 5.2% YoY, slowing from 5.4% but beating the 5.1% forecast for China’s GDP Q2 2025.
• Industrial output rose to a 3-month high in June.
• Jobless rate held at a 6-month low, signaling labor market resilience.
• Retail sales grew at the slowest pace in 4 months despite subsidies.
• Exports accelerated, while imports posted first growth of 2025.
• Growth in H2 may weaken due to trade tensions, deflation, and property downturn, significantly impacted by the China GDP Q2 2025 results.

Sector Performance in Q2 2025 📊

Policy Support and Risks Ahead

Beijing’s targeted policy support, including subsidies on electronics and modest credit easing—helped buffer external shocks. However, officials warned of “insufficient domestic demand” and persistent external uncertainties, influenced by the China GDP Q2 2025 data.

Read More: China’s Manufacturing Activity Rebounds in June

The second half of 2025 is expected to face mounting headwinds, including:

✅ Trade tensions ahead of the August 12 tariff deadline
✅ Deflationary pressures weighing on consumer spending
✅ A prolonged property downturn dragging on investment

The National Bureau of Statistics cautioned that sustaining momentum will require stronger domestic demand and continued policy support.

💬 Do you think China can maintain above 5% growth in H2 2025 despite trade tensions? Share your thoughts below and stay tuned for more economic updates! 🌏📉

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