China's Economy in 2024: Balancing Growth amid Challenges

China's economy grew at a 5% annual pace in 2024, aligning with Beijing's target. Despite strong exports and stimulus measures, challenges persist, including a declining population and weaker consumer demand. Structural reforms are crucial for sustained growth amid external pressures and deflationary trends.

China's economy expanded by 5% in 2024, matching the government's target amid strong export performance and recent stimulus efforts. This growth marks a slowdown from the previous year, yet meets Beijing's objective of 'around 5%'.

The National Bureau of Statistics reported that steady progress was made in high-quality development, aided by policies boosting social confidence and economic recovery. Manufacturing drove growth, with industrial output rising 5.8% year-on-year, and retail sales increasing by 3.5% annually.

However, the economy faces persistent challenges, including a shrinking population and falling consumer demand, compounded by potential U.S. tariff hikes under President-elect Donald Trump. Economists emphasize the need for substantial reforms to sustain momentum.

(With inputs from agencies.)