China’s economy posted better-than-expected growth in the first half of 2025, powered by strong exports and government-backed infrastructure spending. GDP rose 5.2% year-over-year, giving Beijing room to hold back on aggressive stimulus. However, analysts warn that the second half could face more headwinds. Consumer demand remains fragile, the property market is still shaky, and global demand may taper. With trade tensions lingering and youth unemployment high, maintaining momentum will be challenging. While the first half impressed, the second half of 2025 could tell a very different story for the world’s second-largest economy.
China’s Solid Economic First Half Will Be a Tough Act to Follow
