Chinese Premier Li Qiang in a speech Tuesday (June 27) lamented Western calls to reduce dependence on his country as a "false proposition" in a world of intertwined economies.
The European Commission unveiled last week its strategy to respond more firmly to the risks weighing on its economic security, with China in particular in the crosshairs.
Germany, where Li Qiang was recently on an official visit, said it wanted to diversify its partners to "reduce the risks" linked to its heavy dependence on China. Other Western countries have also taken similar positions.
"In the West, some people are pushing the principle of reducing dependency, eradicating risk," the Chinese premier said at the opening of the World Economic Forum in Tianjin (north China).
" Cooperation "
"These two concepts are a false proposition, because with the development of economic globalization the world economy has become a community where everyone is intertwined," he pointed out, pronouncing the word "cooperation" to countless times.
“The economies of countries are intertwined, interdependent, prospering each other and growing together. This is basically a good thing, not a bad thing! »
This edition of the World Economic Forum, colloquially known as "Summer Davos", is the first to be held in China since 2019, due to the Covid-19 pandemic. It will last until Thursday.
Growth that raises questions
China's gross domestic product (GDP) grew 3% last year, far from the official target of 5.5%, and at one of the slowest rates in four decades. For 2023, this target has been set at "about 5%" by the government. "This year, we hope to be able to achieve [this] growth target," said the Chinese premier, who holds the reins of the economy in his country. These remarks come at a time when the world's second largest economy is facing many difficulties.
The post-Covid-19 recovery, so hoped for after the lifting of health restrictions at the end of 2022, has tended to run out of steam in recent weeks and is struggling to materialize in certain sectors. The economy is being penalized by the over-indebtedness of the real estate sector (a traditional pillar of growth), sluggish consumption in a context of uncertainty in the labor market and the global economic slowdown, which is weighing on demand for Chinese goods.
To stimulate activity, the central bank has made several rate cuts in recent weeks, at a time when many economists are making more calls for a stimulus package. But the authorities seem to be ruling out this option for the time being, in favor of targeted measures.
