China Q3 GDP rose 4.5% YoY. Shenwan Hongyuan chief economist Zhao Wei said the domestic economy will undergo an N-shaped recovery, with Q4 likely characterised by sustained strong exports and marginal domestic-demand repair. September data showed marginal improvement in both external and domestic demand; overall growth is expected to drift modestly higher in Q4. Exports: short-term China‑EU trade disruption is limited; an AI-led capex cycle and a rebound in US imports should support continued hi

2026-10-20

China Q3 GDP rose 4.5% YoY. Shenwan Hongyuan chief economist Zhao Wei said the domestic economy will undergo an N-shaped recovery, with Q4 likely characterised by sustained strong exports and marginal domestic-demand repair. September data showed marginal improvement in both external and domestic demand; overall growth is expected to drift modestly higher in Q4. Exports: short-term China‑EU trade disruption is limited; an AI-led capex cycle and a rebound in US imports should support continued high export growth. Investment: developer financing stress will likely continue to weigh on property investment, but faster implementation of existing domestic policy and earlier profit gains should provide lagged support, leaving overall investment on a recovery path in Q4. Consumption: household spending should continue a modest rebound and remain broadly stable.