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In navigating an uncertain global landscape, China's strategic shift towards self-reliance and technological innovation serves as a pivotal move to solidify its presence on the world stage. By reducing dependency on foreign technologies and boosting domestic innovation, China aims to enhance its economic resilience and elevate its competitive edge in key industries. This transition not only reshapes China's economic landscape but also reverberates across global markets, influencing supply chains, trade dynamics, and technological advancements worldwide. As China doubles down on cultivating homegrown talent and fostering innovation hubs, it sets a precedent for future business strategies centered around self-sufficiency and technological prowess. However, this pivot also poses challenges such as intellectual property concerns, geopolitical tensions, and potential market disruptions. The long-term implications of China's strategic reorientation will shape the trajectory of global business and economic systems, offering both risks and opportunities for stakeholders to navigate. #China #SelfReliance #TechnologicalInnovation

Whether by choice or circumstance, China is looking inward for its economic growth. President Xi Jinping wants Chinese consumers to spend their way to growth, buying up domestically made goods. At the same time, the government will invest more in “New Productive Forces” – A.I, Green Tech and Advanced Computing - all for the goal of moving up the value chain and shedding China’s reliance on foreign technology. In this period of “de-coupling” and trade wars, Beijing might have little choice but to become more self-sufficient. Yet, an overly inward-looking and nationalistic China could discourage foreign investors. Are domestic consumption and production enough to jumpstart China’s sputtering economy? https://lnkd.in/ge68qpBf

🚨 Beijing has fired an economic salvo that’s reverberating through global markets. This isn’t just another stimulus package – China is fundamentally reshaping its growth strategy. While many in the West have been quick to declare "peak China," Beijing’s recent actions could prove them wrong. With a stimulus package likely to range from 4 to 12 trillion yuan(about $561 billion to $1.7 trillion), this overhaul is not only designed to counter deflation and weak consumer demand but also to fuel a surge in confidence and innovation. Yes, there are risks, but for those willing to look beyond the headlines, China’s economic pivot could present exciting opportunities. Read more in Diana Choyleva's opinion piece for Barron's. Find the link in the first comment below. #China #ChinaEconomy #Growth #Stimulus #InvestingInChina

Could China be the (real) world leader for economic security, de-risking or decoupling (call it whatever you want)? China has been doing it for far longer than western economies - in fact, Beijing has probably invented the concept, and this has huge implications • Over past years China's reliance on US and Europe as key export destinations has been on declining trend • Meanwhile, share of exports to emerging markets - incl. India, Russia, Thailand, Latin America - is rising

Most major economies see their economic growth being subjected to the vagaries of the global business cycle, but China has seen its economic growth seemingly immune from those cycles since opening up in 1978. From a Solow perspective, there was a lot of catching up growth to do. And it has performed admirably. Only in 2014, 2020 and 2022 did it fail to reach its growth target that is set now every year at the annual Two Sessions. But this growth target is increasingly looking like more like a burden to bear, not an aspiration to achieve. I was recently invited by Channel News Asia's Insight team to share my thoughts on various topics surrounding China's 2024 growth. While not all my comments made the cut with so many well-learnt experts featured, here's some of it. 1) We see China likely to hit its 2024 target of 'around 5%' ultimately thanks to its central government retaining fiscal flexibility and being pushed by a manufacturing expansion, even as local governments are now fiscally constrained. 2) Overcapacity has to be viewed in context of the Chinese industrial policy that helps to ultimately lower costs for China-based companies. 3) Domestic consumption is weak, but it makes individual sense for Chinese consumers save in light of prices having moved sideways. 4) The challenges surrounding the paradox of thrift reducing the overall economy is the last thing Chinese policymakers want to see. 5) Chinese property may no longer be the store of wealth seen in the past, and the support measures have not been picked up (and more is needed!) 6) De-risking is happening with FDI that may have once only gone to China being diverted elsewhere to India and Southeast Asia. 7) It may be time for China to abandon setting growth targets all together, as it may no longer be a sustainable path. #China #Economy #Economics #Macro #growthtarget https://lnkd.in/gvNuaQWp

China’s export-led growth model is broken and Beijing may be at a loss to fix it: https://lnkd.in/e6UGxVUg #China growth model is broken.

🚨 Beijing has fired an economic salvo that’s reverberating through global markets. This isn’t just another stimulus package – China is fundamentally reshaping its growth strategy. While many in the West have been quick to declare "peak China," Beijing’s recent actions could prove them wrong. With a stimulus package likely to range from 4 to 12 trillion yuan(about $561 billion to $1.7 trillion), this overhaul is not only designed to counter deflation and weak consumer demand but also to fuel a surge in confidence and innovation. Yes, there are risks, but for those willing to look beyond the headlines, China’s economic pivot could present exciting opportunities. Read more in my opinion piece for Barron's. Find the link in the first comment below. #China #ChinaEconomy #Growth #Stimulus #InvestingInChina

China: Growth outlook brighter, but challenges remain China's economic development over the past few decades has been remarkable, but these achievements have been accompanied by imbalances and headwinds to growth have emerged https://lnkd.in/gRrN9GAF

China and its major #cities face the prospect of a significant downshift in economic growth this year and over the medium term. While ambitions for the “new productive forces” to invigorate China’s economy are viewed with cautious optimism, cities with strength in those areas may have the advantage. Read more in our latest #China cities outlook: https://okt.to/qGftFg

China and its major #cities face the prospect of a significant downshift in economic growth this year and over the medium term. While ambitions for the “new productive forces” to invigorate China’s economy are viewed with cautious optimism, cities with strength in those areas may have the advantage. Read more in our latest #China cities outlook: https://okt.to/WG7KT2