China's Economic Resilience Amid Trade War Threats

China concluded 2024 with stronger-than-expected economic growth, spurred by extensive stimulus efforts. While concerns about a possible trade war with the U.S. and muted domestic demand may dampen recovery optimism, analysts underscore the need for continued policy intervention to sustain the current economic momentum.

China ended 2024 on a surprisingly robust economic note, helped by aggressive stimulus measures that bolstered GDP growth despite lingering threats of a trade war with the United States and subdued domestic demand.

The country's GDP rose by 5.4% year-on-year in the fourth quarter, beating forecasts, while industrial output and retail sales also showed impressive growth. This came as the Shanghai stock market edged up and the yuan stabilized against the dollar.

Experts warn of ongoing challenges, pointing to rising unemployment and structural issues in China's economy. However, the focus remains on sustaining growth amidst potential U.S. tariffs, with further policy interventions anticipated to maintain economic stability.

(With inputs from agencies.)