Qiushi reaffirms China’s trade-rebalance push, calls old export-led growth ‘unsustainable’ | South China Morning Post

China’s top Communist Party journal has reaffirmed the country’s push to rebalance trade, saying a worsening global environment marked by rising protectionism and geopolitical tensions is adding urgency to its ongoing shift from an “unsustainable” export-driven growth model.

“The underlying conditions, and both domestic and external environment shaping China’s trade balance, are undergoing profound changes, while deep-seated weaknesses in the foreign trade sector remain pronounced,” said a commentary in the latest issue of the Qiushi Journal.

It said the domestic contribution to the value of China’s exports remained relatively low, with weak competitiveness in high-end manufacturing and critical technologies, and called for urgent improvements in regional trade coordination and services trade.

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The article described Beijing’s ongoing efforts to push for balanced trade as a “strategic adjustment proactively undertaken” in response to changing economic conditions.

“In particular, the inherent traits of China’s massive economy dictate that the export-driven model relied upon during its phase of outward-oriented accumulation is unsustainable, making the push for balanced trade development inevitable,” the commentary said.

China has been actively promoting more balanced trade and does not deliberately pursue export expansion or trade surpluses

Qiushi commentary

The piece came as China’s record trade surplus last year unsettled its trading partners and intensified discussions of “China Shock 2.0”, while escalating geopolitical tensions have heightened global anxieties over supply-chain disruptions.

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