China’s economy slowed in the third quarter of 2015 (July-September timeframe), growing at a 6.9 percent clip, which is the weakest quarterly period for the world’s second-largest economy since the depths of the global financial crisis, as it is poised for its worst yearly growth in 25 years.
The data released by China’s National Bureau of Statistics on Monday marked the first time since 2009 that China’s gross domestic product (GDP) fellow below 7 percent since the second quarter of 2009, when it fell to 6.2 percent. The statistics bureau also said that factory output rose just 5.7 percent in September, a further sign of a slowing economy.
Although China’s third quarter expansion was clocked at the slowest since 2009, it did however beat market estimates of 6.8 percent growth.
It remains to be seen whether China will be able to achieve Premier Li Keqiang’s growth target of “around 7 percent” for 2015, as heightened pressure on authorities is certainly to mount.
China’s economy is growing at its slowest pace in 25 years, amid weak global demand for exports and cooling investment, despite five interest rate cuts by China’s Central Bank since last November and increased spending on infrastructure. A selloff in China’s stock markets and Beijing’s surprise devaluation(s) of the yuan have further compounded problems.
A spokesman for the statistics bureau told reporters in Beijing the economy is facing “downward pressures” as the country transitions from an export-driven economy to a consumer-demand economy.