China's economic growth accelerated to 4.5% in the third quarter from a year earlier, as robust foreign demand for the country's technological goods largely offset drags from a deepening property slump and sluggish consumer demand.
Third-quarter growth beat Reuters-polled economists' expectation of a 4.4% expansion, and was also higher than the three-year low of 4.3% in the second quarter.
"The rebound in September salvaged the lukewarm performance in July and August," said Tianchen Xu, senior economist at Economist Intelligence Unit, attributing the recovery to improved government investment that helped arrest the consistent worsening in fixed asset investment, an "ever-strong" external sector and a weak base. China's monthly trade surplus reached a record high of $133.5 billion.
Momentum from the three forces will likely extend into the fourth quarter, Xu said, forecasting a full-year growth rate of 4.7%.
The data shows an economy still leaning on factories and overseas buyers while households and private investors hold back, with growth through the first nine months averaging 4.6%, broadly in line with Beijing's official target range of 4.5% to 5%.