Chinese Premier Confident in '5% Economic Growth'... Criticizes US and EU Tariffs

Chinese Premier Li Chang expressed confidence in China's economic recovery and indirectly criticized the trade policies of the United States and the European Union (EU), Bloomberg reported on the 5th.

In his opening speech at the 7th China International Import Expo held in Shanghai, Premier Li stated, "The Chinese government has the capability to promote continuous economic improvement" and "there is ample room for fiscal and monetary policies." He also emphasized that China will achieve its economic growth target of "around 5%."

Chinese Premier Li Qiang is delivering the opening speech at the 7th China International Import Expo held in Shanghai on the 5th.
[Image source=Reuters Yonhap News]

Bloomberg explained that despite weakened consumer sentiment, deflationary pressures, and a real estate slump, Chinese officials remain optimistic about meeting the economic growth target.

The Caixin Services Purchasing Managers' Index (PMI) for China in October, released that day, rose 1.7 percentage points from the previous month (50.3) to 52. Foreign media analyzed this as a sign that the business environment is improving following the Chinese government's announcement of large-scale stimulus measures since September.

The specific scale of stimulus measures is expected to be decided at the Standing Committee of the National People's Congress (NPC), which opened on the 4th and will run until the 8th.

Premier Li also mentioned the trade policies of the U.S. and the EU. The day before, China filed a complaint with the World Trade Organization (WTO) in response to the EU's high tariffs on Chinese electric vehicles.

Following Premier Li's speech, Malaysian Prime Minister Anwar Ibrahim praised the Chinese government's response, saying, "We are dealing with trade against some countries' ambiguous, arrogant, and unfair trade practices." Anwar is known for his pro-China and pro-Russia stance, including joining BRICS, the emerging economies alliance led by China and Russia.

Bloomberg noted that these remarks by Premier Li and Prime Minister Anwar came amid increasing chances of former U.S. President Donald Trump, who pledged to impose a 60% tariff on Chinese imports, winning the U.S. presidential election.