{"slug": "china-s-economy-grew-at-a-4-3-annual-pace-in-the-2nd-quarter-slowest-since-late", "title": "China's economy grew at a 4.3% annual pace in the 2nd quarter, slowest since late 2022", "summary": "China's economy grew at a 4.3% annual pace in the second quarter, the slowest since late 2022, missing forecasts and down from 5% in the first quarter. Exports surged 17.6% in the first half, driven by AI and electric vehicles, but domestic spending and investment lagged amid a property slump and weak consumer confidence.", "body_md": "HONG KONG (AP) — China's economy slowed sharply to a 4.3% annualized pace of growth in the April-June quarter, the government said Wednesday, the weakest in over three years.\n\nThe official data fell short of forecasts and was far below the economy's [strong 5%](https://apnews.com/article/china-economy-data-growth-e1dbb6d542c6c1b17f99671f4dcc7d81) pace of growth in January-March, despite a surge in exports driven partly by the boom in artificial intelligence, and by robust global demand for Chinese [electric vehicles](https://apnews.com/article/iran-energy-china-ev-5ec89b82365893a341acc59942ce6f35).\n\n[China](https://apnews.com/hub/china) has largely shrugged off wider economic impacts from the Iran war as soaring energy prices pushed up global inflation. Exports rose 17.6% in the first half of the year from a year earlier, and [27% in June](https://apnews.com/article/china-trade-ai-tech-economy-29da1a43eba2961b57f6cfbe6f936e42), according to customs data.\n\nBut domestic spending and investment have lagged, limiting the boost from export manufacturing for an economy that has struggled to regain momentum since parts of China were locked down during the COVID-19 pandemic.\n\n\"This was the slowest growth in any quarter since the lockdown-impacted fourth quarter of 2022,\" said Lynn Song, chief economist for Greater China at ING Bank in a note.\n\nSome economists say China's economy is becoming increasingly unbalanced as heavy state support and private investments pour into frontier [technologies](https://apnews.com/article/china-five-year-plan-technology-economy-7face4580fcfba44410ff2134a09d6bb) like AI, computer [chips](https://apnews.com/article/ai-chips-nvidia-huawei-china-1ae6228c4928ddbb43f984e9b38f49dd) and [robotics](https://apnews.com/article/china-humanoid-robots-ai-demand-7d542b5ee92caa9d79efa28de89afbbe) while other areas such as lower-value manufacturing and jobs creating services industries languish.\n\nExports of [high-tech products](https://apnews.com/article/china-trade-ai-tech-economy-29da1a43eba2961b57f6cfbe6f936e42) such as electric vehicles, computer chips and other electronic equipment have risen sharply, helped by hefty government support since China's leaders have made development of advanced technologies a top priority.\n\nChina ran a [record $1.2 trillion global trade surplus](https://apnews.com/article/china-economy-trade-surplus-record-59f6fcc80ee3afc204a024f57766d319) last year, drawing complaints from policymakers in other countries over their trade imbalances with the world's second-largest economy. Many have pointed to those heavy state subsidies, which they say contribute to an oversupply of manufactured goods that end up being exported overseas.\n\nAs is true in many countries, the expansion of AI and robotics has also raised worries at home over whether businesses will create enough jobs to sustain growth in the longer term.\n\nChinese families have [cut back](https://apnews.com/article/luxury-cars-china-economy-europe-a1f4f55f2989082a2a533ab891f75408) on big purchases, their appetite for spending constrained by a [prolonged property slump](https://apnews.com/article/china-vanke-property-real-estate-a0bc5a9d1ae887ee3fa027f408582f60) and uncertainties over jobs and wages.\n\nAs China remains reliant on its exports to sustain overall growth, \"China's growth model has become increasingly imbalanced,\" said Eswar Prasad, a professor of economics and trade policy at Cornell University. Substantially increasing domestic demand will be tough as confidence remains weak, he added.", "url": "https://wpnews.pro/news/china-s-economy-grew-at-a-4-3-annual-pace-in-the-2nd-quarter-slowest-since-late", "canonical_source": "https://ca.finance.yahoo.com/news/chinas-economy-slows-4-3-022046845.html", "published_at": "2026-07-15 05:23:45+00:00", "updated_at": "2026-07-15 06:03:22.876415+00:00", "lang": "en", "topics": ["artificial-intelligence", "autonomous-vehicles", "ai-chips", "robotics"], "entities": ["China", "ING Bank", "Lynn Song", "Cornell University", "Eswar Prasad"], "alternates": {"html": "https://wpnews.pro/news/china-s-economy-grew-at-a-4-3-annual-pace-in-the-2nd-quarter-slowest-since-late", "markdown": "https://wpnews.pro/news/china-s-economy-grew-at-a-4-3-annual-pace-in-the-2nd-quarter-slowest-since-late.md", "text": "https://wpnews.pro/news/china-s-economy-grew-at-a-4-3-annual-pace-in-the-2nd-quarter-slowest-since-late.txt", "jsonld": "https://wpnews.pro/news/china-s-economy-grew-at-a-4-3-annual-pace-in-the-2nd-quarter-slowest-since-late.jsonld"}}