Asian CrosstalkONE STORY told FROM DIFFERENT ANGLES
MARCH 17 2017
Annual sessions 2017: what awaits Chinese economy?
China can readily survive a trade war, since it is no longer as dependent on exports as it used to be. All of this means that the transition of the Chinese economy to a “new normal” is well under way and that the goal of achieving a “moderately prosperous” society by 2020 is within reach.
One possible solution to the over-capacity and debt problems which are creating a drag effect on the Chinese economy is to continue the drive to "go global." Both President Xi Jinping and Premier Li Keqiang have stressed the need for China to be a leader in promoting globalization, and there is no doubt that this policy is intended to enable the continued growth of the domestic economy.
Instead of corruption and murder scandals, this year the most important signal many China watchers are tracking at the Two Sessions is any sign that President Xi Jinping intends to stay in power — whether as president or as general secretary of the Communist Party.
The country probably aims to prevent business conditions in heavy industry regions from deteriorating and real estate prices in urban areas from falling rapidly. It demonstrates that the administration led by President Xi Jinping attaches importance to social stability, with the National Congress of the Communist Party of China — held every five years — slated for this autumn.