Click here to read earlier issues in the EAI Commentary series.

No. 96

China’s Economy, Mid-2025: Resilience Under Strain and the Search for New Growth Engines

Sarah Y TONG, LI Yao and ZHOU Na, 26 September 2025

Despite persistent headwinds, China’s economy in the first half of 2025 outperformed expectations, demonstrating considerable resilience. Based on International Monetary Fund’s July 2025 update, China is expected to contribute roughly 30% of global growth, consistent with its share in recent years. China’s targeted government policies helped to mitigate sharper downturn risks, while emerging industries continue to show vitality. Meanwhile, as the transition towards a more balanced, consumption-driven model remains incomplete, achieving the annual growth target of around 5% continues to face significant challenges.

Stay Connected

YouTube | LinkedIn | X (Twitter) | Subscribe to our mailing list 

Read the latest issue of EAI journals: China: An International Journal and East Asian Policy

Tune in to the EAI Podcast: East Asia Pulse