The United States of America and China are two of the most dominant economies in the world. In the last ten years, these two economic giants have been competing to control the world economy. The United States is still the largest economy globally in terms of nominal GDP, and China is the largest economy based on GDP (PPP). Both nations have been central in determining world trade, investment, and economic policies. This article explores the GDP trend of both the US and China from 2014 to 2025.
Key Takeaways
- The U.S. remains the world’s largest economy by nominal GDP, while China is rapidly closing the gap, nearly doubling its GDP from 2014 to 2025.
- Both economies faced setbacks due to COVID-19, but recovered strongly in the coming years.
- By 2025, the U.S economy is projected to surpass $30 trillion, while the Chinese economy is set to exceed $20 trillion.
What is GDP?
Gross Domestic Product (GDP) is the market value of all the goods and services created by a nation in one year. This metric is like the report card of a country’s economy and gives an overview of its whole economic activity. The greater GDP value typically means a powerful economy, more jobs, and higher standard of living.
Comparing U.S. and China GDP Growth from 2014 to 2025
The table below presents the GDP of the United States and China from 2014 to 2024. It also provides the projected GDP values of both the U.S. and China in 2025.
| Year | 🇺🇸 U.S. GDP, current prices | 🇨🇳 China GDP, current prices |
|---|---|---|
| 2014 | $17.61 Trillion | $10.52 Trillion |
| 2015 | $18.30 Trillion | $11.11 Trillion |
| 2016 | $18.80 Trillion | $11.23 Trillion |
| 2017 | $19.61 Trillion | $12.27 Trillion |
| 2018 | $20.66 Trillion | $13.84 Trillion |
| 2019 | $21.54 Trillion | $14.34 Trillion |
| 2020 | $21.35 Trillion | $14.86 Trillion |
| 2021 | $23.68 Trillion | $17.76 Trillion |
| 2022 | $26.01 Trillion | $17.85 Trillion |
| 2023 | $27.72 Trillion | $17.76 Trillion |
| 2024 | $29.17 Trillion | $18.27 Trillion |
| 2025P | $30.34 Trillion | $19.53 Trillion |
The data is sourced from the International Monetary Fund.
US GDP Growth
The United States has long been the world’s largest economy by nominal GDP. In 2014, the U.S. GDP was $17.61 trillion which is expected to hit a whopping $30.34 trillion by the year 2025. That is about a 73% rise within a decade. The growth of the U.S. GDP has not been very smooth.
In 2020, the country suffered a severe blow as a result of the COVID-19 pandemic, leading to a decline in GDP to $21.35 trillion from $21.54 trillion in 2019. The US recovered strongly in 2021, with GDP increasing to $23.68 trillion. However, this recovery was driven by huge government stimulus packages and a strong job market.
In 2025, the US GDP is projected to be $30.34 trillion, while China’s GDP is expected to reach $19.53 trillion. This means the US economy will be approximately $10.81 trillion larger than China’s economy.
U.S. Trade Deficit with Major Asian Economies in 2024
China’s GDP Growth
China is the second-largest economy by nominal GDP after the United States. However, in terms of GDP (PPP), China Surpassed the US to become the largest economy globally.
China’s GDP was $10.52 trillion in 2014, which was much less than the US GDP of $17.61 trillion. In 2025, China’s GDP is expected to grow to $19.53 trillion, almost doubling its size over the course of ten years.
China’s growth has been driven by its huge population, industrialization, technological advancements, and quality infrastructure. However, like the US, the COVID-19 pandemic also decelerated China’s growth in 2020, with GDP rising marginally to $14.86 trillion from $14.34 trillion in 2019.
In 2021, China’s economic rebound from Covid-19 was impressive, with its GDP growth rate rising by 8.6%. This was possible because of the China’s strong exports and economic policies influenced by the government. China’s growth has decelerated in recent years due to its aging population, real estate market crises, debt accumulation, and trade tensions with the US.
Despite all these challenges, China is still a powerful economic force. By 2025, it is set to close the GDP gap with the US even more.
IMF Projects Stable Economic Growth for G7 Nations in 2025
What Does This Trend Mean for the Global Economy?
The economic competition between China and the U.S. is more than just numbers; it affects the world economy directly. Both of these nations are the biggest trading countries, and their trade agreements influence global markets, supply chains, and the prices of common products. They are also both making significant investments in technology, AI, and green energy.
Conclusion
China and the US are defining the future of the global economy. While the US remains dominant economy, China’s rapid economic growth is reshaping the balance of power between the two nations. By 2025, China’s economy is expected to grow to $20 trillion, almost doubling in ten years. The U.S. economy is also growing steadily and is set to exceed $30 trillion in 2025.
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