Amid global economic uncertainties, China’s economy is gearing up with new growth engines that promise a brighter future.
At the World Economic Forum in Davos, Switzerland, the prospects of China’s economy have taken center stage. “The Chinese economy is hugely important and continues to be important,” said Mina Al-Oraibi, editor-in-chief of The National. “The world economy needs China to be steady and to grow.”
With traditional growth drivers like infrastructure, exports, and real estate slowing down, China is turning its attention to domestic consumption, manufacturing, and green transformation.
Manufacturing: The Backbone of Growth
Zhu Min, a member of the senior expert advisory committee under the China Center for International Economic Exchanges, emphasized that manufacturing is the “key competitiveness of China’s economy.” China’s manufacturing industry has maintained its top position globally in terms of overall scale for 15 consecutive years.
“China is the manufacturing house of the world. We have to stay in good cooperation because China is a supplier to a lot of markets,” Michael Süss, executive chairman of Oerlikon, told CGTN. “If China is not producing, these markets have an issue because the goods are not coming.”
“In the next 20 years, we will make sure made-in-China means cheap, good, and high technology,” Zhu added.
Boosting Domestic Consumption
Domestic consumption is emerging as a significant driver of China’s economic growth. “Consumers are driving manufacturing, manufacturing is driving jobs, and jobs are creating new salaries,” Süss explained.
Fernando Honorato Barbosa, chief economist at Brazilian Banco Bradesco, noted, “China can foster mass consumption. So I see domestic demand as a driver of growth in the next few months.” He added that the real estate market as a growth driver is being replaced by the growing consumption of goods and services.
Embracing Green Transformation
Green transformation is the third pillar in China’s new growth strategy. Chinese Vice Premier Ding Xuexiang stated that China has built the world’s largest and most complete new energy industrial chain.
Both the government and enterprises are making significant strides toward green initiatives. China National Petroleum Corporation President Hou Qijun pledged a three-step strategy to adapt to the new situation: substituting traditional energy with clean energy, fostering new energy, and facilitating green transformation.
A Positive Outlook
Despite challenges and uncertainties, many global observers remain optimistic about China’s economic prospects. As the world becomes increasingly interconnected, China’s role in global economic growth continues to be indispensable.
Reference(s):
cgtn.com
