China says GDP grew 5% in 2025, among weakest expansions in decades | Business and Economy

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The world’s second-largest economy grew 4.5 percent in the final quarter, data shows.

China’s economy grew 5 percent in 2025, hitting Beijing’s annual target even as it registered one of the weakest expansions in decades, according to official statistics.

The Chinese economy grew in line with official expectations despite US President Donald Trump’s trade war, official data showed on Monday, as surging exports helped offset weak consumer spending and a prolonged property downturn.

Still, despite shrugging off Trump’s tariffs, growth was still well below the recent historical trend of about 8 percent between 2000 and 2025.

The world’s second-largest economy slowed to an annualised 4.5 percent in the October-December period, compared with expansions of 4.8 percent year and 5.2 percent, respectively, in the third and second quarters.

“Generally speaking, the national economy sustained momentum of steady progress in 2025 despite multiple pressures, and high-quality development registered new achievements,” China’s National Bureau of Statistics said in a statement.

“However, we must be aware that the impact of changes in the external environment is growing, the contradiction of strong supply and weak demand in the domestic market is prominent, and the numerous longstanding issues and new challenges still remain in the economic development.”

Consumption and real estate, both persistent drags on China’s economy, continued to weigh on growth.

Retail sales grew 0.9 percent on a yearly basis in December, the slowest gain since Beijing lifted its ultra-strict COVID-19 controls in late 2022, according to official figures.

Fixed-asset investment fell 3.8 percent across the year, with spending on real estate development specifically declining by 17.2 percent, according to the figures.