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China's economy grew 5.4% in Q1 2025, boosted by pre-tariff export surges. However, analysts predict a slowdown due to escalating US-China trade tensions, with tariffs reaching 145% on some Chinese imports. China is diversifying its markets and emphasizing domestic growth, while Xi Jinping promotes free trade during his Asian tour. Despite robust manufacturing and technological advancements, weak property investment and consumer spending pose challenges. Economists offer varied growth projections, with UBS forecasting a significant decline due to tariffs.

Prepared by Christopher Adams and reviewed by editorial team.