China Q1 GDP shocked the world and beat all expectations with 5.4% growth, above the 5.1% forecast by media and analysts around the world.
Recently, Trump’s administration slashed 145% tariffs on China and in retaliation, China slapped 125% tariffs on the U.S. and media coverage around the world gives analyses of China Q1 GDP going down to 5.1% but it remained the same as Q4 2024.
A senior economist at the Economist Intelligence Unit told Reuters that the Chinese government has boosted consumption and supported investments to achieve these results in Q1 2025 and it’s a very good start of the year.
But, analysts and experts around the world have said that China had analyzed the risk of Trump’s upcoming tariffs in Q2 and boosted its product sales, mainly, retail sales and industrial output and this number will change in Q2 because of the impact of Trump’s tariffs.
In a recent interview with Bloomberg, Indian Union Minister of Commerce and Industry Piyush Goyal indicated that China will dump their products in other countries because tariffs will decrease its exports to America.
If China bombards its products in the upcoming days, we might see cheaper products in the market.