Consequences be damned. China loves its own economic model

后果皆可抛,中国深爱其经济模式。

Economist

2025-10-14

7 分钟
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  • The big debate about the Chinese economy

  • has long pitted those who see it as a bubble waiting to burst

  • against those who judge it a sustainable success.

  • A new debate is now emerging, which is potentially far nastier.

  • Much of the world falls into one camp: admiring China's accomplishments,

  • but also reeling from a deluge of Chinese exports.

  • In the other camp is China, utterly convinced of the rightness of its economic model.

  • This debate is not so much about what the future may bring but about defining the economy's basic condition today.

  • The external view, held by many foreign officials and economists, is that China is beset with challenges,

  • from persistent deflation to a collapsing property market and anaemic consumer spending.

  • Exporting the fruits of industrial overcapacity to the rest of the world is seen as a lifeline.

  • The official Chinese view, by contrast, is that these problems are sideshows to the main event:

  • an economy breaking through to new technological frontiers.

  • This is not an abstract disagreement.

  • It helps explain the ferocity of the trade war between America and China.

  • Prominent members of the Trump administration

  • believe China's economy is so weak that tariffs and export controls will have it crying for mercy.

  • Mr Trump himself flirts with this:

  • on October 12th he posted that

  • Xi Jinping,