China overtakes Japan as world second largest economy

Gross domestic product grew at an annualized rate of just 0.4 percent, the government said yesterday, far below the annualised 4.4 percent expansion in the first quarter and adding to evidence the global recovery is facing strong headwinds.

The figures underscore China's emergence as an economic power that is changing everything from the global balance of military and financial power to how cars are designed. It is already the biggest exporter, auto buyer and steel producer, and its global influence is expanding.