China’s economic policy changes, both domestic economic changes and the independent variables, but also a profound impact on other Asian economies; the structural adjustment required starting from the two perspectives of themselves and regions, promote Asian interests and China’s interests to achieve common
Boao Forum for Asia this year’s theme is “change the world in Asia: towards a healthy and sustainable development”. The background of which they are based, is the current world economy filled with uncertainty.
Asian economies are becoming increasingly prominent in the world economic stage, its strength. 2005 to 2010, the contribution of the Asian economies to world economic growth rate up to 38.1%, higher than 11.5% in the United States and the European Union (14.2%); the same period, the contribution of the Asian economies to world economic growth rate, China is 20.8 percent, Japan and India 5.4% and 5.1% respectively.
Asia in the past has been regarded as the areas to rely on savings and investment rather than consumption-led growth. Today the situation is quietly changing. By 2030, Asia’s middle-income groups, consumer spending will be more than the developed countries.As one of the hallmarks of consumer ability to enhance, Asia has become the major regions of the world imports, its share of world imports declined from nearly 16 percent in 2000 raised to 23% in 2010. This situation with a double meaning, namely, the rise in Asia, along with the rise of the “consumption”; the Asian economy will rely more on external demand in the past, turning inside and outside the development model to be both.
Of course, whether it is from the consumption scale, the total trade and investment, Asia can not replace the status of developed countries in the world, Asia needs to be done multi-level, multi-field conversion is possible dominant force in the world jumped, and this is this year’s Boao Asia the main line of the forum to discuss the issue. Present in Asia, including China faces major challenges is how to promote export-oriented to domestic demand-led economic growth mode conversion, how to solve the problem of “jobless growth, income distribution reform to promote consumption.
Export-oriented growth model in Asia, especially East Asia has been for half a century, the policies and resources of these economies are inclined to export, to achieve rapid growth in external demand. This model has been successful, but since the Asian financial crisis, especially since 2008 the international financial crisis, global economic imbalances caused by shrinking external demand environment and uncertainty, this model from the reflection to some unsustainable, open domestic demand to seek a new growth path is imperative.
“Jobless” growth is the same as the present stage of Asian problem. With the industrial upgrading, many Asian economies, the industrial structure from labor-intensive to capital-and technology-intensive transition, the new industry structure is no longer only dependent on labor advantage. The Asian population is relatively dense, to resolve the employment, the path of reality is to vigorously develop the service industry and SMEs.Related to this is that a number of social fields, including social insurance system, medical and educational system reform, through the lifting of the worries of ordinary people, to expand the proportion of Asian people’s consumption.
The above, to some extent at this stage need to crack transition problems. 30 years of reform and opening up has been China and Asia close contact with China is not only the largest trading partner and significant investor in a number of Asian economies, but also Asia’s industrial chain extension of the terminal and the final product to. This reality, China’s restructuring and the development of not only the relationship between their own future, and also about the economic outlook of Asia. China’s economic policy changes, both for domestic economic changes and the independent variables, and also a profound impact on other Asian economies. Structural adjustment policies in China need to proceed from the two perspectives of themselves and regions to coordinate the needs of the Asian economic restructuring, promote the common interests of China and Asia to achieve.
Of future trends, actively promote within, and external demand-oriented economic policy of attaching equal importance, and may become a common policy orientation of many Asian economies. Meanwhile, some Asian newcomer economies, labor-intensive and export-oriented model is still regarded as an effective rapid growth path. Therefore, China adjust its export orientation, also need to increase the ability to absorb the final product in Asia to stimulate the development of Asia after the economy.
Development and upgrading of the manufacturing sector of a country can occupy the commanding heights of economic development of strategic importance. For China, the manufacturing sector is still the main driving force of economic growth, also expected a longer period to keep the hub of manufacturing growth, but has now entered a critical period of transformation and upgrading of the need to enhance the core competitiveness and sustainable development capacity, narrow the gap between manufacturing power, and in a number of important industry to seize the commanding heights of industry development in the world. Occupy the total global industrial production in Asia, is currently in the existing division of labor in the new changes, the period has not yet formed a new division of labor, how to form their own advantage is a major issue.
Strengthening South-South trade, actively explore new markets in Asia is also important to China. Asian Development Bank in its annual outlook report, the theme for South-South economic ties; the United States will also be the target of doubling exports in the Asian market. Today, intra-regional trade in Asia than in the past, a more substantial upgrade, China should actively use the Asian trade in the core of an advantageous position to further expand the scale of intra-regional trade, and actively promote the integration of Asia, promoting the mutual flow of trade and investment in the region for future Asian economic growth helping.