China reported a better-than-expected economic growth as the world’s second largest economy took advantage of a trade truce with the US amid President Donald Trump’s tariff offensive.

China's economy grew at a slightly faster pace than expected in the second quarter, showing resilience in the face of U.S. tariffs, though analysts warn of intensifying headwinds that will ramp up pressure on policymakers to roll out more stimulus.

China's economic growth slowed to 5.2% year-over-year in Q2 2025, its weakest pace since Q3 2024 and down from 5.4% in the preceding two quarters. Despite this deceleration, the Q2 figure slightly exceeded the 5.