China's economy grew at an annual rate of 7.9% between April and June, up from 6.1% in the first quarter, thanks to the government's big stimulus package.
The country's quickening economic expansion comes as most nations in the West continue to experience recession.
Beijing now expects China to achieve 8% growth for 2009 as a whole, which compares with a predicted contraction of between 1% and 1.5% in the US.
However, the Chinese government warned that some economic challenges remain.
The BBC's correspondent in Shanghai, Chris Hogg, said China's latest economic growth was largely due to the government's 4 trillion yuan ($585bn, £390bn) economic stimulus plan unveiled last November.
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Yet Chinese officials said the increased economic expansion between April and June could not obscure continuing problems.
Chris Hogg, BBC Shanghai correspondent
China's economy is recovering earlier than many had expected.
That's largely due to the government's massive economic stimulus package unveiled last November, but the private sector is doing its part too.
China's state controlled banks have lent huge amounts of money to the country's state owned and private sector businesses.
Companies have used the cash to try to avoid shedding jobs and to invest in new equipment.
The many new government infrastructure projects have provided employment for many of the migrant workers who have been laid off - mainly in the export sector.
The slowdown elsewhere in the world means exporters are still suffering, but the rest of China's economy is in much better shape.
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"The difficulties and challenges in the current economic development are still numerous," said National Bureau of Statistics (NBS) spokesman Li Xiaochao at a news conference.
"The basis of the rebound of the people's economy is not stable," he said.