China’s economy grew at a slightly faster pace than expected in the second quarter, showing resilience in the face of U.S. tariffs, though analysts warn of intensifying headwinds that will ramp up pressure on policymakers to roll out more stimulus.

It shows how China has been able to keep growth on track through exports and investment even as it struggles with weak demand at home. Shuang Ding, chief economist for greater China and north Asia at Standard Chartered,