Pondering the possibility that China’s economy is going the way of Japan's 30 years ago, Japanese researcher Toshiya Tsugami analyses some similarities and differences between the two trajectories.
Japanese researcher Toshiya Tsugami observes that the exuberant tone of China's previous Party Congress reports has been carried over in this year’s 20th Party Congress. However, the external environment has changed much for China and its targets could be a stretch in this context.
The impact of the Shanghai lockdown is far-reaching, not least the way it is weakening Chinese exports and consumption, which have helped China weather the economic storm thus far, says Japanese researcher Toshiya Tsugami. This is having ripple effects on global supply chains and may further debilitate them before they have a chance to normalise. To stave off a severe economic crisis, China must deal with three pressing issues.