The International Monetary Fund (IMF) on Tuesday revised up China's growth forecast for 2019 from 6.2 to 6.3 percent, according to a newly-released World Economic Outlook report.

The upward revision showed the combined impact of the recent progress in the China-U.S. trade talks, China's stronger-than-expected fiscal and monetary stimulus, and a slowing global economy, according to Changyong Rhee, director of the IMF's Asia and Pacific Department, Xinhua reported.

The latest report also projected a 6.1 percent growth rate for China in 2020, down 0.1 percentage point from the previous estimation. It said the global growth will return to 3.6 percent in 2020.

Source: World Economic Outlook, IMF Source: World Economic Outlook, IMF

It lowered its global forecast for 2019 to 3.3, down 0.2 percentage point from its previous estimation in January due to potential uncertainties in the world economy and world trade tensions.

IMF chief economist Gita Gopinath said the projected slowdown in 2019 reflects negative revisions for several major economies including the euro area, Latin America, the United States, the United Kingdom, Canada and Australia.

Containers in a port in Harbin, capital of northeast China's Heilongjiang Provi‍nce. /VCG Photo Containers in a port in Harbin, capital of northeast China's Heilongjiang Provi‍nce. /VCG Photo

In addition, the report said the outlook for U.S.–China trade tensions have improved as a trade agreement is expected to take shape.

It explained the spillover effects of bilateral tariffs. In terms of supply chain, for China, the impact of the downstream and upstream tariffs dominate. For the U.S., however, upstream tariffs are more important as intermediate imports from China plays a relatively bigger role. For third countries, trade diversion offsets negative spillovers from value chain links with China and the United States.