19.10.2026 06:20
China, the world's second-largest economy, grew 4.5 percent in the July-September period, recovering from a three-year low. Global demand for artificial intelligence chips increased exports, while domestic consumption remained weak.
According to the BBC report, China, the world's second-largest economy, grew by 4.5 percent in the July-September period. Thus, the economy recovered from the lowest level in three years seen in the previous quarter. The boost that the artificial intelligence boom gave to exports was decisive in the recovery.
According to official Chinese data, the economy grew by 4.3 percent in the second quarter. In the first three months of the year, growth was recorded at 5 percent. The latest figure remained at the lower bound of Beijing's growth target range of 4.5-5 percent set for this year.
In a statement on Monday, China's National Bureau of Statistics reported that the economy "maintained stable development despite pressure" and gained momentum with new growth dynamics.
Global demand for computer chips and other components used in artificial intelligence data centers has been the main driver of China's growth in recent quarters. With the increase in exports, China's trade surplus is expected to exceed last year's record of 1.2 trillion dollars.
However, the domestic market continues its weak course. In the first nine months of the year, real estate investments declined by more than 20 percent compared with the same period last year. The prolonged housing crisis, slow wage growth, and high youth unemployment are pressuring consumer spending.
In September, the Beijing administration announced a support package including interest rate cuts for some businesses and subsidies for home buyers. On the other hand, Western economies, especially the US and the European Union, are increasing their reaction to cheap Chinese goods. Whether the billions of dollars spent on artificial intelligence infrastructure will bring the expected profit also remains a question mark.
Source: BBC