China's economy grew by 4.5% year-on-year in the third quarter, accelerating from 4.3% in the second quarter. The overseas demand for Chinese technology products largely offset the drag caused by the deepening slump in the real estate sector and weak consumer demand.

This figure is higher than the 4.4% predicted by economists surveyed by Reuters, as well as the 4.3% recorded in the second quarter, which was the lowest level in three years.

These data indicate that the Chinese economy is still dependent on factory production and overseas buyers, while households and private investors remain cautious. In the first nine months of this year, the average economic growth rate was 4.6%, close to the lower end of Beijing's official target range of 4.5% to 5%.

In the first nine months of this year, the decline in urban fixed asset investment further expanded, dropping by 7.2% year-on-year; a Reuters survey had anticipated a decline of 7.3%.

In September, the total retail sales of consumer goods increased by 1.1% year-on-year, exceeding analysts' forecast of 0.6%; industrial added value also increased by 5.5% year-on-year, in line with the expected 5.5%.

The urban unemployment rate in September was 5.2%.

This year, Beijing has relied heavily on exports to drive growth. However, with the cooling of investment in areas related to AI and the escalation of trade tensions with the European Union, this growth engine is facing increasing pressure.

Relevant Chinese departments have increased policy support, including introducing a package of targeted interest rate cuts and mortgage subsidy measures at the end of September. At the beginning of October, they also allocated an unused debt quota of 550 billion yuan to local governments.

Economists generally expect that the People's Bank of China will maintain the benchmark lending rate unchanged for the rest of this year, leaving more tasks for stabilizing growth to fiscal measures.

Correction:This article has been revised to reflect a quarterly growth rate of 4.5% for GDP.