China's economy grew 4.5% year-on-year in the third quarter, up from a three-year low of 4.3% in the previous quarter, according to official data released on Monday. The rebound was driven by exports, particularly in AI-related technology, which helped offset sluggish spending at home.
The figure sits at the bottom of Beijing's annual growth target of 4.5% to 5%, giving policymakers room to address deeper economic challenges. While the headline number beat the previous quarter, it remains below the 5% expansion recorded from January to March.
AI exports power China's rebound
Global demand for computer chips and components used to build AI data centres has been a key driver of China's growth in recent quarters, according to the BBC. The National Bureau of Statistics said the economy "sustained steady development against pressure" and showed "momentum with new growth drivers".
China's trade surplus is on track to overtake last year's record $1.2tn, as exports climb. Oxford Economics researcher Sheana Yue said manufacturing and high-tech exports have boosted growth despite weak investment and domestic spending.
China Q3 GDP: the key numbers
The data paints a mixed picture. Exports are carrying the economy, but domestic weakness persists: property investment fell by more than 20% in the first nine months from the same period last year, with no sign of a recovery.
- Q3 GDP growth: 4.5% year-on-year, up from 4.3% in Q2
- Annual growth target: 4.5% to 5%
