Primary Taiwanese news agency Central News Agency (CNA) recently reported that the president of the European Union Chamber of Commerce in China said that China’s economic growth is not what it used to be. At present, European companies are cautious about investment. Although large companies continue to invest, smaller companies have pressed the pause button or they have left. He believes that the biggest problem in China’s economy is the real estate industry, which accounts for a quarter of the total Chinese GDP. There are almost no new developments. In addition, in the field of exports, China exported 6.4 million containers to the EU last year, while the EU only exported 1.6 million containers to China. This shows China’s dependence on European consumers. In terms of industrial production, energy supply problems continue to arise. Youth unemployment remains high. China’s large private enterprises are facing serious difficulties. They are being punished, while state-owned enterprises are being rewarded with strong government support. In China, the EU Chamber of Commerce does not yet see the same way that they did during the Cultural Revolution in the 1960s, but the country is heading in that direction.
Source: CNA, May 27, 2023
https://www.cna.com.tw/news/acn/202305270037.aspx