- August 13, 2022
- Posted by: Stratford Team
- Category: Economy
In the run-up to the Chinese Communist Party convention this year, troubles are coming to the Chinese economy not as single spies but battalions. This must be of considerable concern for a vulnerable US and global economy. Until now, China has been the world’s main engine of economic growth. It has also been the world’s largest consumer of international commodities and a very large export market for the highly export-dependent German economy.
One major source of the Chinese economy’s recent troubles has been President Xi Jinping’s zero-tolerance COVID policy. In an effort to eradicate the pandemic, Xi locked down major cities like Shanghai and Beijing. At times this involved more than 350 million workers unable to work normally.
Little wonder then that the formerly fast-growing Chinese economy ground to a virtual halt. It managed to eke out only a 0.4% growth rate over the fiscal year that ended in July. That fell…