{"id":123577,"date":"2024-11-08T19:36:49","date_gmt":"2024-11-08T12:36:49","guid":{"rendered":"https:\/\/hotvideos24.online\/?p=123577"},"modified":"2024-11-08T19:36:49","modified_gmt":"2024-11-08T12:36:49","slug":"china-is-trying-to-fix-its-economy","status":"publish","type":"post","link":"https:\/\/hotvideos24.online\/?p=123577","title":{"rendered":"China is trying to fix its economy"},"content":{"rendered":"<p> <script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-3711241968723425\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-format=\"fluid\"\r\n     data-ad-layout-key=\"-fb+5w+4e-db+86\"\r\n     data-ad-client=\"ca-pub-3711241968723425\"\r\n     data-ad-slot=\"7910942971\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script><br \/>\n<\/p>\n<div id=\"\">\n<figure>\n<div data-component=\"image-block\" class=\"sc-18fde0d6-0 ejjhCR\">\n<div data-testid=\"hero-image\" class=\"sc-a34861b-1 jxzoZC\"><img decoding=\"async\" src=\"https:\/\/www.bbc.com\/bbcx\/grey-placeholder.png\" class=\"sc-a34861b-0 cOpVbP hide-when-no-script\"\/><img decoding=\"async\" sizes=\"(min-width: 1280px) 50vw, (min-width: 1008px) 66vw, 96vw\" srcset=\"https:\/\/ichef.bbci.co.uk\/news\/240\/cpsprodpb\/886b\/live\/ebc3ef50-9ccd-11ef-aa41-998bb22e478c.jpg.webp 240w,https:\/\/ichef.bbci.co.uk\/news\/320\/cpsprodpb\/886b\/live\/ebc3ef50-9ccd-11ef-aa41-998bb22e478c.jpg.webp 320w,https:\/\/ichef.bbci.co.uk\/news\/480\/cpsprodpb\/886b\/live\/ebc3ef50-9ccd-11ef-aa41-998bb22e478c.jpg.webp 480w,https:\/\/ichef.bbci.co.uk\/news\/640\/cpsprodpb\/886b\/live\/ebc3ef50-9ccd-11ef-aa41-998bb22e478c.jpg.webp 640w,https:\/\/ichef.bbci.co.uk\/news\/800\/cpsprodpb\/886b\/live\/ebc3ef50-9ccd-11ef-aa41-998bb22e478c.jpg.webp 800w,https:\/\/ichef.bbci.co.uk\/news\/1024\/cpsprodpb\/886b\/live\/ebc3ef50-9ccd-11ef-aa41-998bb22e478c.jpg.webp 1024w,https:\/\/ichef.bbci.co.uk\/news\/1536\/cpsprodpb\/886b\/live\/ebc3ef50-9ccd-11ef-aa41-998bb22e478c.jpg.webp 1536w\" src=\"https:\/\/ichef.bbci.co.uk\/news\/480\/cpsprodpb\/886b\/live\/ebc3ef50-9ccd-11ef-aa41-998bb22e478c.jpg.webp\" loading=\"eager\" alt=\"Reuters US President Donald Trump meeting with China's President Xi Jinping during the G20 leaders summit in Osaka, Japan, 29 June, 2019.\" class=\"sc-a34861b-0 efFcac\"\/><span class=\"sc-a34861b-2 fxQYxK\">Reuters<\/span><\/div>\n<\/div>\n<p><figcaption class=\"sc-8353772e-0 cvNhQw\">Donald Trump and Xi Jinping at their last face-to-face meeting in 2019<!-- --><\/figcaption><\/p>\n<\/figure>\n<div data-component=\"text-block\" class=\"sc-18fde0d6-0 dlWCEZ\">\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">China has unveiled new measures aimed at boosting its flagging economy, as it braces for a second Donald Trump presidency.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">The country plans to tackle tens of billions of dollars of local government debt to  prevent it being a drag on growth.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">Trump won the US election on a platform that promised steep import taxes, including tariffs as high as 60% on Chinese-made goods.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">His victory is now likely to hinder Xi Jinping\u2019s plans to transform the country into a technology powerhouse \u2013 and further strain relations between the world\u2019s two biggest economies.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">A property slump, rising government debt and unemployment, and low consumption have slowed down Chinese growth since the pandemic.<!-- --><\/p>\n<\/div>\n<div data-component=\"text-block\" class=\"sc-18fde0d6-0 dlWCEZ\">\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">So the stakes are higher than ever for the latest announcement from the Standing Committee of the National People\u2019s Congress (NPC), the executive body of China&#8217;s legislature.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">During his first term in office Trump hit Chinese goods with tariffs of as much as 25%.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">China analyst Bill Bishop says Trump should be taken at his word about his new tariff plans.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">&#8220;I think we should believe that he means it when [he] talks about tariffs, that he sees China as having reneged on his trade deal, that he thinks China and Covid cost him the 2020 election&#8221;.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">The pressure from Washington did not ease after Trump left the White House in 2021. The Biden administration kept the measures in place and in some cases widened them.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">While the first wave of Trump tariffs were painful for China, the country is now in a much more vulnerable position.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">The economy has been struggling to return to pre-pandemic levels of growth since abruptly abandoning its tight Covid restrictions two years ago.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">Instead of delivering a widely expected fast-paced recovery, China became a regular source of disappointing economic news.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">Even before Trump&#8217;s election victory and after China began rolling out measures to support its economy in September, the International Monetary Fund (IMF) <!-- --><a target=\"_blank\" href=\"https:\/\/www.imf.org\/en\/Publications\/REO\/APAC\/Issues\/2024\/10\/31\/regional-economic-outlook-for-asia-and-pacific-october-2024\" class=\"sc-c9299ecf-0 bZUiKB\" rel=\"noopener\">lowered its annual growth target<!-- --><\/a> for the country.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">The IMF now expects the Chinese economy to expand by 4.8% in 2024, at the lower end of Beijing&#8217;s &#8220;about 5%&#8221; target. Next year, it projects China&#8217;s annual growth rate will drop further to 4.5%.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">The latest plan involves using an additional 6 trillion yuan ($840bn) from now until 2026 to bail out local governments which have piled up unsustainable levels of debt.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">For decades, local governments have helped drive growth throughout the country by borrowing massive sums of money &#8211; much of which paid for infrastructure projects. But a downturn in the property industry has left some cities unable to pay their bills.<!-- --><\/p>\n<\/div>\n<div data-component=\"text-block\" class=\"sc-18fde0d6-0 dlWCEZ\">\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">But the country&#8217;s leaders were not caught entirely off guard by the end to decades of super-fast growth.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">Speaking in 2017, President Xi said his country planned to transition from &#8220;rapid growth to a stage of high-quality development.&#8221;<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">The term has since been used repeatedly by Chinese officials to describe a shift to an economy driven by advanced manufacturing and green industries.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">But some economists say China cannot simply export itself out of trouble.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">China risks falling into the type of decades-long stagnation that Japan endured after a stock and property bubble burst in the 1990s, Morgan Stanley Asia&#8217;s former chairman, Stephen Roach, says.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">To avoid that fate, he says China should draw &#8220;on untapped consumer demand&#8221; and move away from &#8220;export and investment-led growth&#8221;.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">That would not only encourage more sustainable growth but also lower &#8220;trade tensions and [China&#8217;s] vulnerability to external shocks,&#8221; he says.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">This more robust economic model could help China fend off the kind of threats posed by Trump&#8217;s return to power.<!-- --><\/p>\n<\/div>\n<p><h2 class=\"sc-518485e5-0 kRvAla\">New economy, old problems<!-- --><\/h2>\n<\/p>\n<div data-component=\"text-block\" class=\"sc-18fde0d6-0 dlWCEZ\">\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">But China, which has long been the world\u2019s factory for low-cost goods, is trying to replicate that success with high-tech exports.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">It is already a world leader in solar panels, electric vehicles (EVs) and lithium ion batteries.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">According to the International Energy Agency (IEA) China now accounts for at least 80% of solar panel production. It is also the biggest maker of EVs and the batteries that power them.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">The IEA said last year that China&#8217;s investments in clean energy accounted for a third of the world&#8217;s total, as the country continued to show &#8220;remarkable progress in adding renewable capacity.&#8221;<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">&#8220;For sure there is an overall effort to support high-tech manufacturing in China,&#8221; says David Lubin, a senior research fellow at London based-think tank, Chatham House.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">&#8220;This has been very successful&#8221;, he adds.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">Exports of electric vehicles, lithium ion batteries and solar panels jumped 30% in 2023, surpassing one trillion yuan ($139bn; \u00a3108bn) for the first time as China continued to strengthen its global dominance in each of those industries.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">That export growth has helped soften the blow to China&#8217;s economy of the ongoing property crisis.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">\u201cChina\u2019s overcapacity will increase, there is not doubt about it. They have no other source of growth,\u201d said Alicia Garcia-Herrero, chief economist for the Asia Pacific region at investment bank Natixis.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">But along with those increased exports, there has been a rise in resistance from Western countries, and not just the US.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">Just last month, the European Union increased tariffs on Chinese-built EVs to as much as 45%.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">&#8220;The problem right now is that large recipients of those goods including Europe and the US are increasingly reluctant to receive them,&#8221; said Katrina Ell, research director at Moody&#8217;s Analytics.<!-- --><\/p>\n<p class=\"sc-eb7bd5f6-0 fYAfXe\">Today, as Trump is set to head back to the Oval Office with a pledge to hammer Chinese imports, Beijing will have to ask itself whether its latest measures to boost its slowing economy will be enough.<!-- --><\/p>\n<\/div>\n<\/div>\n<p><script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-3711241968723425\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-format=\"fluid\"\r\n     data-ad-layout-key=\"-fb+5w+4e-db+86\"\r\n     data-ad-client=\"ca-pub-3711241968723425\"\r\n     data-ad-slot=\"7910942971\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script><br \/>\n<br \/><div data-type=\"_mgwidget\" data-widget-id=\"1660802\">\r\n<\/div>\r\n<script>(function(w,q){w[q]=w[q]||[];w[q].push([\"_mgc.load\"])})(window,\"_mgq\");\r\n<\/script>\r\n<br \/>\n<br \/><a href=\"https:\/\/www.bbc.com\/news\/articles\/c0qdz1jne91o\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Reuters Donald Trump and Xi Jinping at their last face-to-face meeting in 2019 China has unveiled new measures aimed at boosting its flagging economy, as it braces for a second &hellip; <a href=\"https:\/\/hotvideos24.online\/?p=123577\" class=\"more-link\">Read More<\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[29],"tags":[],"class_list":["post-123577","post","type-post","status-publish","format-standard","hentry","category-world","entry"],"_links":{"self":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts\/123577","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=123577"}],"version-history":[{"count":0,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts\/123577\/revisions"}],"wp:attachment":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=123577"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=123577"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=123577"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}