China’s economy grew at a slightly faster pace than expected in the second quarter, showing resilience in the face of U.S. tariffs, though analysts warn of intensifying headwinds that will ramp up pressure on policymakers to roll out more stimulus.

Amid escalating trade tensions with the US, China’s economy recorded a steady 5.2 per cent growth in the second quarter of 2025, buoyed by surging exports. However, a dip in consumer prices revealed ongoing weakness in domestic demand.