#China #Guangzhou #China Economy #Danilo Türk #Global Stability

China's Role in Global Economic Stability

In a recent interview with GDToday, Danilo Türk, former President of Slovenia and President of the Club de Madrid, discussed the significant impact of China's economic growth on global stability. As the nation convenes for its annual "two sessions" from March 4 to 11, it has set an ambitious GDP growth target of around 5% for 2025, seeking to achieve notably high economic output of 134.9 trillion yuan.

In reflecting on China's economic influence, Türk highlighted that a 5% growth rate in China represents about one-third of the global economic expansion. This assertion underscores the importance of China's stability in bolstering the economy worldwide. Despite skepticism from some Western media pertaining to potential economic recession in China, Türk believes that periods of structural change are a natural part of economic evolution, suggesting that as certain sectors slow, others will accelerate.

He pointed to the impressive performance of China's export industries, where mechanical and electrical products saw an 8.7% increase and accounted for nearly 60% of total exports. Notably, the growth of electric vehicles, 3D printers, and industrial robots has been striking, exemplifying China’s shift towards high-tech manufacturing.

Moreover, Türk expressed confidence that China's goal of achieving around 5% growth is realistic, given the nation's proven track record in reaching previously set targets. He emphasized that the meticulous planning that underpins these goals, evaluated by experts, distinguishes China's approach from that of other countries.

2025 marks a pivotal transition for China, being the final year of its 14th Five-Year Plan. As this plan comes to a close, it lays the groundwork for the upcoming 15th Five-Year Plan, indicating long-term strategies and inviting global attention.

Another aspect of China's economic landscape is its aging population; a trend that poses challenges similar to those faced in Europe. Türk advocates for the encouragement of younger generations to foster innovation, which is vital for sustaining the considerable development China has achieved over the past few decades.

The introduction of DeepSeek, an advanced AI model founded in 2023, exemplifies this innovative spirit. Developed by Liang Wenfeng, a talented programmer, DeepSeek showcases cost-effective solutions that have garnered global recognition. Türk stresses the role of youth in technological advancements, attributing DeepSeek's success to the dynamic involvement of young innovators.

"China will continue to be at the center of the global economy in the next five years," he confidently asserts.

Guangdong-Hong Kong-Macao Greater Bay Area: A Model for Innovation

Another focal point of Türk's discussion was the Guangdong-Hong Kong-Macao Greater Bay Area, which has become a significant economic hub since its inclusion in government work reports back in 2017. With the reported GDP reaching 14 trillion yuan, the area is recognized as a model of integration in commerce, finance, and technology - displaying rapid development and innovation within its unique ecosystem.

Türk noted that throughout his numerous visits to China, the transformative landscape has always impressed him, revealing various new buildings and developments. He believes this region not only symbolizes progress but also exemplifies a synergistic approach to economic development, where each locality contributes its unique characteristics.

The Greater Bay Area is set to evolve, enhancing its existing frameworks while paving the way for new opportunities, and Türk is keen to monitor its future advancements.

Overall, the insights of Danilo Türk provide a valuable perspective on the present and future role China plays in fostering economic stability globally. As discussions continue during the country's pivotal legislative sessions, the world watches closely, mindful of the broader implications of China's policies on economic health everywhere.