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China's economic growth slowed during the quarter concluding in September as trade tensions with the US intensified.

The global number two economy expanded by four point eight percent compared to the equivalent timeframe in 2024, representing its slowest rate in a full year, according to official figures released on Monday.

This economic data emerges following China's implementation of extensive restrictions on its shipments of rare earths - essential elements for global electronics manufacturing, a move that rocked the fragile trade truce with the United States.

The third quarter GDP growth will establish the tone for a meeting of China's senior officials this week to examine the country's economic blueprint covering the period between 2026 and 2030.

Key Financial Indicators

The 4.8% expansion in the third quarter signified a slowdown from the five point two percent registered in the three months ending in mid-year.

China's National Bureau of Statistics announced the economic system displayed "remarkable durability and dynamism" against international challenges, attributing momentum in its technology sector and business services as primary growth drivers.

The Chinese government has set a goal of "around 5%" economic growth this calendar year and has thus far avoided a sharp downturn, supported by state intervention policies.

Global Trade Developments

American leader President Trump responded promptly to China's restrictions on rare earths by threatening extra 100% tariffs on goods from the Asian nation.

US Treasury Secretary Secretary Bessent indicated he expects to confer with China's representatives this week in Malaysia in an effort to reduce friction and organize a summit between the US President and his counterpart President Xi.

Prior to the latest escalation, Chinese businesses had taken advantage of the commercial ceasefire with the United States to ship goods to the US, resulting in China's overseas shipments increasing by 8.4% in last month.

Industry Performance

The total value of imports to the country was also up, while China's industrial output expanded by 6.5% last month from a previous year.

Producers in additive manufacturing, automation technology and electric vehicles were among its strongest performers, while the service sector, which encompasses IT support, advisory firms, and transport and logistics, also experienced growth.

The Chinese economy continues to demonstrate remarkable resilience despite increasing international commercial challenges and domestic economic adjustments.