Thursday, October 23, 2025

China’s new five-year plan has the world’s attention.

Communist Party leaders are meeting in Beijing this week to map out China's economic strategy for the next five years -- doubling down on ambitious plans to dominate high-tech industries and raise the country's geopolitical heft.

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... Despite escalating trade friction with the United States and other countries, Chinese leader Xi Jinping has signaled that his top economic priority is boosting China's manufacturing prowess with across-the-board technological innovation " reflecting confidence that Beijing's current course is a winning one.

While details of the country's new five-year plan, covering 2026 to 2030, will be released in coming weeks and months, the main pillars of its industrial policy are clear: increase China's self-reliance in advanced technologies, while expanding overseas markets to fuel export-driven growth. ...


#1 | Posted by LampLighter at 2025-10-23 12:33 AM

OK, from what I have heard, China's economy has two distinct parts.

The internal economy, i.e., the people of China doing things liek spending money.

The external economy, i.e., other countries buying Chinese goods.

OK, with that distinction n mind, the internal economy looks to be having some significant difficulties.

China's Economy Has A Few Major Problems
www.yardeniquicktakes.com

... China's economy is struggling with excessive debt, deflation, excess capacity, and a rapidly aging population.

China continues to rely on exports to support economic growth. China has been increasingly accused of dumping its excess production in world markets. This is exacerbating trade frictions, especially with the US. ...


... China continues to rely on exports to support economic growth. ...

Yup.


#2 | Posted by LampLighter at 2025-10-23 12:38 AM

The internal economy also has two parts: products made for use within the country which could also be exported, and products made for internal use but which is not allowed to be commercially exported. These latter are sold in the Friendship Store which big cities have. The individual can take home what they buy there as long as it is just personal use. The best of everything is carried there, things made to such a high degree of quality it was astonishing to me when I went to the one in Dalian in 2001.

#3 | Posted by grumpy_too at 2025-10-25 02:17 AM

@#3 ... The internal economy also has two parts: products made for use within the country which could also be exported, ...

Yeah, I'd characterize that portion as "external economy."

...products made for internal use but which is not allowed to be commercially exported. ...

That's a part of the "internal economy" of which I spoke.

Other parts are real-estate and a imbalance between what China can product and what it can consume internally.

Stated differently ...

China's economic slowdown has become its diplomatic weapon in the Pacific
www.abc.net.au

... China's rise in the Pacific isn't just about aid or diplomacy " it's about survival and power.

As domestic demand slows and Western tariffs squeeze exports, Beijing has been forced to turn its industrial surplus outward.

Behind the roads, mines and ports it is building across the Pacific lies a deeper urgency: China has more factories than it has buyers. ...




#4 | Posted by LampLighter at 2025-10-25 03:23 AM

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