CHINA unveiled new measures on Thursday (Nov 21) to boost foreign trade, as Beijing battles to turn around a slowing economy threatened further by the potentially hostile policies of incoming US president Donald Trump.
The world’s second-largest economy has struggled to revive growth since the Covid pandemic and remains beset by a debt crisis in the crucial housing sector, chronically low consumption and high youth unemployment.
Prospects may have darkened further with Trump’s election, given that the mercurial US leader hiked tariffs on Chinese imports during a wide-ranging trade war in his first term in office.
Beijing’s commerce ministry released a notice on Thursday ordering all levels of government to immediately implement nine policies to “promote the stable growth of foreign trade, and consolidate and enhance the economy’s upward momentum”.
The measures included an expansion of export credit insurance, strong financing support for foreign companies and smoother cross-border trade settlements.
Other moves aimed to further develop cross-border e-commerce, push exports of speciality agricultural products, and more support for imports of “key equipment, energy resources and other products”.
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The ministry also ordered innovation in “green trade”, more cross-border personnel exchanges and better shipping and employment guarantees for foreign enterprises.
All provincial and local governments must “closely follow the foreign trade operating situation, analyse changes… and provide strong support for the continued recovery of the economy”, the statement said.
In his first White House term, Trump engaged in a bruising trade war with China, imposing tariffs on billions of US dollars in Chinese products and drawing retaliation from Beijing.
China has declined to comment directly on the likelihood that Trump will pursue an even more hostile policy this time around.
President Xi Jinping told incumbent US President Joe Biden last week that Beijing would “strive for a smooth transition” in ties and was willing to work with the Trump administration. AFP
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