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- China's economic recovery loses some steam
China's economic recovery loses some steam
Reuters reports that according to the report from National Bureau of Statistics of China, China's economy grew slightly more slowly than expected in the second quarter, weighed down by higher raw material costs and new COVID-19 outbreaks.
Gross domestic product (GDP) expanded 7.9% in the April-June quarter from a year earlier, missing expectations for a rise of 8.1%.
Growth slowed significantly from a record 18.3% expansion in the January-March period, when the year-on-year growth rate was heavily skewed by the COVID-induced slump in the first quarter of 2020.
Retail sales and industrial output grew more slowly in June, the latter dragged by a sharp fall in motor vehicle production, while NBS data also showed a cooling in China's housing market, a key engine of growth.
But June activity data still beat expectations, providing some relief to investors concerned about a slowdown after the central bank announced policy easing last week.
Average second quarter growth in 2020 and 2021 was 5.5%, up slightly from a 5% average for the first quarter, according to the National Bureau of Statistics.
On a quarterly basis, GDP expanded 1.3% in the April-June period, the NBS said, just beating expectations for a 1.2% rise. The NBS revised down growth in the first quarter from the fourth quarter last year to 0.4%.
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