China is trying to fix its economy. Trump could derail those plans

Published On Nov 7, 2024, 7:01 PM

China is set to announce new measures to revitalize its struggling economy as the country faces another Donald Trump presidency, which comes with threats of steep tariffs on Chinese goods. The Chinese economy has been underperforming since the pandemic due to issues like a real estate slump and low consumer spending. The IMF has lowered its growth expectations for China. While China has made strides in high-tech exports, including solar panels and electric vehicles, it faces increasing resistance from Western countries regarding these exports, especially with the possibility of new tariffs. There are concerns that China risks falling into prolonged economic stagnation similar to Japan's experience. Experts believe that China needs to shift its economy away from reliance on exports to encourage more sustainable domestic growth.