Chinese economy is slowing down

Chinese economy is slowing down as it grows at its slowest pace since the early 1990s.

In line with forecasts, the economy grew 6.2% from a year earlier in the three months to the end of June.

China is stimulating its economy this year by boosting spending and delivering tax cuts.

China’s national statistics bureau said the figures pointed to a “complex environment” both at home and abroad with the country fighting a trade war with the US which has hurt businesses and slowed growth.

“Economic conditions are still severe both at home and abroad, global economic growth is slowing down and the external instabilities and uncertainties are increasing,” said bureau spokesman Mao Shengyong.

It said the economy now faces “new downward pressure”.

The slowdown makes it more difficult for president Xi Jinping to fight back forcefully against the US, which is using tariffs as leverage to try to force Beijing into opening up its economy.

Exports to the world rose only 0.1% during the first six months compared with the same period last year.