Reference News Network, March 16 report: According to the German magazine "Spiegel" website, March 11 report, China will launch a new five-year plan. What do people in China and around the world now need to expect? For this, "Spiegel" magazine interviewed Alexander David, a researcher at the Mercator Institute for China Studies in Germany.

"Spiegel" magazine asked: Chinese Premier Li Qiang announced at this year's National People's Congress that the expected economic growth rate for this year is between 4.5% and 5%. This is the lowest economic growth expectation since 1991.

David replied: It's not entirely unexpected. The Chinese economic model is changing, shifting from export-oriented to strengthening technological self-reliance. Beijing hopes to achieve industrial modernization and take a leading position in the world through future technologies such as robotics and artificial intelligence.

Question: Another goal is to increase domestic consumption.

Answer: Yes, to expand domestic demand. However, the government setting this goal does not necessarily mean that it will stimulate consumption by giving money directly to citizens. In this context, domestic demand mainly refers to demand along the value chain. Electric vehicle and robot manufacturers need to expand. Semiconductor companies need to produce more chips, which will be installed in domestically produced electric vehicles.

Question: The five-year plan determines China's economic policy. The new plan covers 2026 to 2030. Its outline draft has more than 100 pages and will be passed this week. What does it say?

Answer: One sentence caught my attention. It talks about confidence. The Communist Party believes it can indeed achieve its goals: that the most advanced technology can be "Made in China." This shows that it believes technological self-reliance is achievable.

Question: From the perspective of Europe, this sounds hard to understand: on one hand, the Chinese economy is incredibly strong; but on the other hand, this economy is guided by a five-year plan, a mechanism reminiscent of a planned economy. How can these two aspects coexist?

Answer: The way these plans operate has changed over time. Fundamentally, these plans are guiding principles that point out the path forward in the future. They are a compass for government officials and party cadres.

Question: What does China's new five-year plan mean for other regions of the world?

Answer: For Europe, it means extremely fierce competition. Europe is fighting two battles at the same time: one against China and another against the United States, which is imposing heavy tariff policies. A few years ago, former European Central Bank President Mario Draghi wrote a report on European competitiveness. Sometimes I feel that the Chinese may have taken that report more seriously than Europeans. They are implementing some of the recommendations in the report: strengthening the internal market, investing in domestic innovation, paying more attention to domestic scientific breakthroughs, and increasing R&D investment.

Question: Recently, Chancellor Merkel led a large delegation of business leaders to visit China. The message of this trip was clear: Europe still needs to trade with China.

Answer: Of course, but the opposite conclusion is often overlooked: China also needs Europe. The five-year plan offers opportunities for Europe. In this case, Europe can find levers to exert influence on China. (Translation by Wang Qing)

Original: toutiao.com/article/7617791206906462766/

Statement: The article represents the views of the author.