China's Economy Achieves 5.0% GDP Growth in 2025

China concluded 2025 with economic growth meeting its official target, marking a steady end to the 14th Five‑Year Plan period. According to data released by the National Bureau of Statistics (NBS) on January 19, 2026, China’s gross domestic product (GDP) expanded by 5.0 percent year‑on‑year in 2025, despite persistent domestic demand weakness and external uncertainty. For foreign investors, however, the significance of the 2025 data lies less in the headline growth figure and more in the composition of growth, as well as the policy signals it sends as China transitions into the 15th Five-Year Plan period (2026–2030). While overall performance suggests macro stability, underlying sectoral trends indicate that the economy is continuing to rebalance toward industrial upgrading, services, and external markets. China’s Economy in 2025: A Snapshot GDP: RMB 140.19 trillion (US$19.6 trillion), +5.0% real YoY; quarterly growth eased from 5.4% (Q1) to 4.5% (Q4); Q4 QoQ +1.2%. Sector breakdown: Primary +3.9%, Secondary +4.5%, Tertiary +5.4% (services led growth). Industry: Value‑added +5.9%; equipment manufacturing +9.2%; high‑tech manufacturing +9.4%. Manufacturing sentiment: December industrial output +5.2% YoY; PMI 50.1 (back in expansion). Services: Value‑added +5.4%; IT & software +11.1%; leasing & business services +10.3%. Consumption: Retail sales RMB 50.12 trillion (US$7.0 trillion), +3.7%; online retail +8.6% (physical goods 26.1% share); December +0.9%. Investment: Fixed asset investment ‑3.8%; manufacturing +0.6%; infrastructure ‑2.2%; property ‑17.2%. Trade: Goods trade RMB 45.47 trillion (US$6.36 trillion), +3.8%; exports +6.1%, imports +0.5%; private firms 57.3% share. Prices & jobs: CPI 0.0%; core CPI +0.7%; PPI ‑2.6%; urban unemployment 5.2% (Dec 5.1%). Income & population: Per‑capita disposable income RMB 43,377 (US$6,070), +5.0% real; population ‑3.39 million; urbanization 67.89%. Growth met the target, but momentum moderated China’s GDP reached RMB 140.2 trillion (US$19.6 trillion) in 2025, achieving the government’s growth objective of “around 5 percent.” Growth momentum, however, moderated throughout the year. On a quarterly basis, GDP growth slowed from 5.4 percent year‑on‑year in the first quarter to 4.5 percent in the fourth quarter, reflecting fading stimulus effects and subdued domestic demand conditions. From a structural perspective, the services sector remained the primary driver of growth, expanding by 5.4 percent for the year, while industrial and agricultural output recorded more moderate gains. The steady, though decelerating, trajectory suggests that policymakers prioritized stability and risk management over aggressive short‑term stimulus in the final year of the 14th Five‑Year Plan.