China’s economy grew slightly above expectations in the first quarter, supported mainly by strong infrastructure investment and a surge in exports, even as domestic demand remained weak, as reported by The New York Times. They write:
China’s National Bureau of Statistics announced on Thursday that the country’s gross domestic product grew 1.3 percent from the last three months of 2025. If that pace continues through the year, the Chinese economy will expand at an annual rate of about 5.3 percent.
Retail spending and car sales slowed, and a prolonged property downturn continued to weigh on household wealth and consumption. While exports—especially electric vehicles, batteries, and industrial goods—helped offset weakness at home, rising costs, trade tensions, and shifting global demand are limiting momentum. Overall, growth remains dependent on state-led investment and external demand rather than a strong consumer recovery.
