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15.07.202602:04:21UTC+00China Q2 GDP Growth Weakest in 3-1/2 Years

China’s economy grew 4.3% year-on-year in Q2 2026, slowing from 5.0% in Q1 and falling short of market expectations of 4.5%. This marked the weakest annual expansion since Q4 2022, as subdued domestic demand, sluggish private investment, and a prolonged property downturn more than offset continued support from strong AI-related exports. The latest figure also came in below the lower bound of Beijing’s 4.5%–5.0% annual growth target, highlighting the uneven nature of the recovery and strengthening expectations of additional fiscal stimulus. For the first half of the year, GDP rose 4.7%. Mao Shengyong, deputy head of the National Bureau of Statistics, said economic growth remained “within an appropriate range,” pointing to generally stable employment, mild inflation, and solid foreign trade momentum. He added that the economy had shown “strong resilience.”

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