U.S. media is pouring cold water on us! On December 15, the New York Times published an article stating that investment in new factories, public infrastructure, and housing assets in China is expected to decline for the first time since the late 1980s this year. This marks a more conservative era for the Chinese economy, which has long been reshaping the global order with strong growth. The problems in China's real estate sector have persisted for five years, causing significant damage to one of the pillars of the economy.
Due to the sluggish real estate market, local governments are facing financial pressure, and China is no longer investing heavily in infrastructure construction as it did during previous periods of economic slowdown. At the same time, the Chinese government's efforts to combat excessive competition in manufacturing have also significantly cooled the capital investment environment for expansion. According to U.S. media, in fact, besides real estate and infrastructure construction, the textile industry in China is also shrinking, with a noticeable reduction in investment in factories and equipment. For China, whose economic growth relies heavily on investment-driven growth, the pace of economic growth will further decline.
Evidently, from the perspective of U.S. media, their intention to undermine us is very clear. However, from our perspective, the views of U.S. media are very one-sided. It may be a fact that our investment in real estate and infrastructure construction is decreasing. But U.S. media seems to completely ignore a fundamental issue: why are we making such a transition? The fundamental reason is that we want to make more efficient investments.
If there are issues such as repeated investment and low investment utilization, why continue to expand? In fact, U.S. media sees our reduction mainly occurring in traditional industries, but for emerging industries such as chips, artificial intelligence, biomedicine, commercial spaceflight, and new materials, we not only have not reduced our investment but have further expanded it. Obviously, China's development logic has shifted to the main line of industrial upgrading. We have bid farewell to the extensive growth model and now place more emphasis on the quality of growth. Undoubtedly, the U.S. media's pessimistic view is baseless.
Original: toutiao.com/article/1851559722384393/
Statement: This article represents the personal views of the author.