Back to today’s briefing

Story perspectives

China's Economy Slows to 4.8% Growth Amid Trade Tensions

10/18/2025

29 3 Full Breakdown

Summary

Story summary

The economy is projected to grow 4.8% in the third quarter, down from 5.2% in the prior quarter.
Trade tensions with the United States and a weak domestic market contribute to the slowdown.
The People's Bank of China (PBOC) may implement modest easing measures to boost confidence.
Foreign companies are reassessing their strategies in China due to sluggish consumer demand and rising competition from local brands.

History

Historical Context

China's economic reform, initiated in December 1978 under Deng Xiaoping, marked a pivotal shift from a planned economy to a socialist market economy. By 1980, GDP growth reached 7.6%, attracting foreign investment and transforming trade dynamics. Today, ongoing trade tensions with the U.S. and a struggling domestic market reflect challenges reminiscent of earlier reforms, shaping China's current economic landscape.

1 of 2

Story summary

The economy is projected to grow 4.8% in the third quarter, down from 5.2% in the prior quarter.
Trade tensions with the United States and a weak domestic market contribute to the slowdown.
The People's Bank of China (PBOC) may implement modest easing measures to boost confidence.
Foreign companies are reassessing their strategies in China due to sluggish consumer demand and rising competition from local brands.

1 / 2