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The Chinese economic growth decelerated during the three months ending in the end of September as trade tensions with the US escalated.

The world's second-largest economy grew by 4.8% compared to the same period in the previous year, representing its slowest rate in a full year, according to government figures published on Monday.

This economic data emerges following China's implementation of extensive restrictions on its shipments of rare earths - critical minerals for global electronics manufacturing, a move that rocked the delicate trade truce with the US.

The three-month period GDP expansion will set the tone for a meeting of China's senior officials this coming days to examine the country's development plan covering the years between 2026 and 2030.

Key Economic Indicators

The four point eight percent growth in the July-September period represented a reduction from the five point two percent registered in the three months ending in mid-year.

China's statistical authority announced the economic system demonstrated "strong resilience and dynamism" against external pressure, crediting momentum in its technology sector and business services as key growth drivers.

The Chinese government has set a target of "approximately five percent" economic growth this year and has thus far prevented a sharp downturn, supported by government support measures.

Global Trade Developments

US President President Trump responded swiftly to China's restrictions on rare earths by threatening additional double duties on goods from China.

American finance official Scott Bessent indicated he anticipates to meet Chinese officials this coming days in Malaysia in an effort to ease tensions and arrange a summit between the US President and his Chinese equivalent Xi Jinping.

Before the recent flare-up, Chinese businesses had capitalized of the commercial ceasefire with the United States to ship goods to the US, resulting in China's exports increasing by 8.4% in last month.

Industry Performance

The overall worth of imports to the country was also up, while China's industrial output grew by six point five percent last month from a year earlier.

Producers in 3D-printing, automation technology and electric vehicles were among its best-performing sectors, while the service sector, which encompasses technology services, advisory firms, and shipping companies, also showed expansion.

The Asian economy continues to show significant resilience despite growing global commercial challenges and domestic financial recalibrations.