Analysts voice corners that 2022 may be rather taxing for China’s economy. Notably, such gloomy forecasts were made not by Western media but by Chinese top officials.
Minister of Commerce Wang Wentao was the first who said that China’s economy would face multiple challenges at home and abroad this year. He stresses that the main risks are uncertainty over global trade and still-lackluster domestic consumption. "This year, the pressure on foreign trade will be huge and the situation will be very severe," Wang said at a press conference. This double whammy may easily undermine the once steady economic growth. "Foreign trade, which helped drive the world's second-largest economy last year, will be confronted by uncertain external demand and a high statistical base from 2021," Wentao pointed out.
Given the uncertainty about the prospects for the global economy, China is determined to do everything possible in 2022 to spur domestic consumption. Apart from that, China maintains its Open Door Policy in world trade. It means that the country will expand access to the domestic market, as well as take additional measures to draw foreign investment in the country's industrial sector. "Foreign direct investment grew in the double-digits in January-February", he said. Some analysts reckon that in 2022, China's economy may surpass the EU economy amid mounting domestic demand, exports, and the attraction of foreign investment.
