BEIJING: China's economic growth slowed to the weakest pace in a year in the third quarter, as a property crisis and trade tensions hurt demand, leaving policymakers with the daunting challenge of rebalancing GDP drivers towards greater consumption over time.

Authorities have unveiled modest stimulus measures this year, supported by resilient exports and strong stock markets, but renewed US-China trade tensions pose risks. While there is room for additional support, analysts are divided over whether policymakers will act this year.

Data on Monday showed gross domestic product (GDP) grew 4.8% in July-September, slowing from 5.2% in the second quarter and in line with analysts' expectations in a Reuters poll for a rise of 4.8%.

China is aiming for full-year growth of around 5%.

"The market understanding was that China is going to miss the target, no matter what. Even with stimulus, it was going to be below 5%," said Dan Wang, China director at Eurasia Group.

"But judging by the figure for the first three quarters, it's going to hit the target, suggesting China can withstand any pressure from the US, even with such levels of tariff threats and export restrictions. Beijing is sending the signal that it is capable of reaching its development goals and is strongly committed to its policies."

Quarterly, GDP grew 1.1% in the third quarter, the National Bureau of Statistics data showed, compared with a forecast 0.8% increase and a revised 1.0% gain in the previous quarter.

Articles tagged with "China's economy"

China's Q3 GDP growth slows to one-year low