China's Premier Li Aims to Strengthen the Nation's Economic Prospects at Shanghai Trade Fair

06 Nov, 2023

China's Premier Li Aims to Strengthen the Nation's Economic Prospects at Shanghai Trade Fair

Chinese Premier Li Qiang, in his keynote speech at the 6th China International Import Expo in Shanghai, emphasized his commitment to advancing economic reforms, expanding free trade zones, and facilitating foreign investment. The event aims to attract foreign businesses looking to trade with China and invest in its economy, which has recently experienced lackluster growth.

Official data reveals that China's economy expanded at an annual rate of 4.9% between July and September, surpassing analysts' expectations of approximately 4.5%. However, this growth rate was notably slower than the 6.3% annual growth recorded in the previous quarter.

To stimulate the economy, the Chinese government has implemented various policies, including increased spending on infrastructure, interest rate reductions, and easing restrictions on home purchases. Nevertheless, economists argue that comprehensive reforms are necessary to address long-term issues hindering sustained growth.

This annual expo, initiated by President Xi Jinping in 2018, promotes China's image as a proponent of free trade. Chief Li confirmed, "We will continue working on market passage, maintaining the real privileges of unfamiliar financial backers, and cultivating an internationally serious, market-situated, and legitimate business climate."

Foreign businesses have expressed concerns about the deteriorating investment climate in China, particularly in light of new legislation that potentially labels the possession of standard economic forecasts as a form of espionage. American companies have voiced the challenges they face when investing in China due to significant risks.

This year's expo attracted Australian Prime Minister Anthony Albanese, who is visiting China with a focus on revitalizing trade relations strained by years of economic and political tensions. While in office, Albanese demanded that China lift what he perceived as "unjustified" trade barriers, costing Australian exporters approximately AU$20 billion annually. These barriers have since been substantially reduced to around AU$2 billion.

The visit marks the first in seven years to Australia's major trading partner, signifying a positive step towards constructive dialogue between the two nations. Albanese anticipates discussing joint approaches to climate change, agricultural challenges, and cooperation in the arts. He stressed that despite the occasional differences, the relationship is based on respect, maturity, and mutual benefit.

Albanese affirmed Australia's willingness to cooperate where possible, voice disagreements when necessary, and engage in activities aligned with the nation's interests. He recognized the importance of dialogue with China in promoting regional and global peace, prosperity, and security while navigating the challenges and opportunities of this century.

More than 200 Australian companies are participating in the Shanghai fair, underscoring the significance of economic ties between the two nations.

Although Australia remains cautious about supporting China's bid to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), citing concerns about standards and transparency, Premier Li expressed China's commitment to actively pursuing CPTPP accession and other high-standard free trade agreements.