China's real GDP for the July–September quarter rose 4.5% year on year, within the government's full-year target range of 4.5%–5.0%. High-tech industries supported exports, while domestic demand lacked momentum amid the effects of the property market and fuel prices.
China's National Bureau of Statistics said real GDP for the July–September 2026 quarter, excluding the effects of price changes, rose 4.5% year on year. This was slightly above the previous quarter's 4.3% growth and within the government's full-year target range. The Reuters market forecast was for 4.4% growth. Exports remained strong, while slowing domestic demand weighed on the economy.
High-tech industries supported exports, helped by accelerating global AI development and growing demand for electric vehicles. Industrial production rose 5.5% year on year in September, and easing tensions with the United States was also seen as a tailwind.
On the domestic-demand side, weak property prices and the impact of the situation in the Middle East contributed to sluggish consumer spending, with September retail sales rising just 1.1% year on year. Weak sales of durable goods and the limited effect of replacement incentives were cited. In addition, fixed-asset investment from January to September fell 7.2% year on year, apparently reflecting pressure on local-government finances and a decline in private investment.