China’s National Bureau of Statistics is scheduled to release the country’s third quarter GDP growth rate today. China’s economic expansion
China’s National Bureau of Statistics is scheduled to release the country’s third quarter GDP growth rate today.
China’s economic expansion slowed as a result of the COVID-19 pandemic, but Beijing’s stimulus actions allowed its economy to rebound from a -6.8% growth rate in the first quarter to a second quarter result of 3.2%. Today’s announcement is anticipated to reveal that China’s economy has grown an estimated 5.2% when compared to the same period last year.
In the medium term, some economists argue that China’s economic growth may be affected by the US election. Under a second Trump administration, fresh adverse trade actions against China are a possibility as President Donald Trump has repeatedly blamed Beijing for the pandemic. While Trump has acted unilaterally in his dealings with China, a Biden administration would be amenable to a more multilateral approach, and is likely to lean on US alliances to pressure and moderate China’s ascent.
While the result of the US election may determine the direction of Sino-US economic relations, China’s recovery is expected to continue on its positive course whatever the outcome. In the near term, current trends estimate that China’s annual growth rate for 2020 will reach 1.9%.