Maroc - EURASIAREVIEW.COM - A la une - Aujourd'hui 02:51

China’s Ambitious Economic Roadmap For 2025: Innovation, Consumption, And Stability – Analysis

China has laid out an ambitious economic roadmap for 2025, signaling its intent to solidify its position as a global powerhouse through strategic fiscal expansion, technological innovation, and policies aimed at boosting domestic consumption. Premier Li Qiang’s government work report, delivered at the opening of the third session of the 14th National People's Congress (NPC) on March 5, underscores Beijing’s determination to sustain a growth target of around 5%, despite global economic uncertainties. Former United Nations Under-Secretary-General Erik Solheim emphasized China’s role as a stabilizing force in the world economy. “With an expected economic growth of around 5% for 2025, China will continue to be the biggest source of global economic growth,” he noted in an interview with China Economic Net. This projection underscores Beijing’s confidence in its long-term strategy, even as the global economic order remains in flux. At the heart of this strategy is China’s effort to transition from an export-driven economy to one fueled by domestic consumption and cutting-edge technological advancements. The government work report outlines a proactive fiscal policy, expanding the fiscal deficit target from 3% to 4%, thereby creating additional leverage for investment in key sectors. This shift is designed to enhance economic resilience while ensuring stability amid external pressures. Bernardo Mendia, Board Advisor at the EU Young Entrepreneurs Association, described China’s evolving economic model as a shift from labor-intensive growth to capital- and technology-driven expansion. “The planned measures to stimulate domestic consumption and the incentives for skill development provide strong endogenous power for long-term growth,” he explained. This transition is further reinforced by China’s move to inject 1.3 trillion yuan in ultra-long special treasury bonds—an increase of 300 billion yuan from last year—while issuing 4.4 trillion yuan in local government special-purpose bonds. China’s commitment to fostering a more open market for investment is another key pillar of its 2025 plan. The government has announced regulatory reforms aimed at expanding access to sectors such as telecoms, medical services, education, and the cultural industries. This move is expected to attract foreign investors by offering greater opportunities for reinvestment and deeper integration into China’s industrial supply chains. David Perez-Des Rosiers, Director of the Canada China Business Council Beijing Chapter, highlighted China’s commitment to an open business environment. “China’s efforts to expand service sector openness and attract foreign investment offer a positive perspective for Canadian businesses, particularly in services and education, which form a large part of Canada-China bilateral trade,” he noted. A recent business survey revealed that 70% of Canadian companies still consider China a top-five priority for investment, signaling continued confidence in the Chinese market. China’s ambitious 2025 strategy also underscores its focus on innovation, with significant investments in cutting-edge sectors such as biomanufacturing, quantum technology, embodied AI, and 6G. The newly launched “AI Plus” initiative aims to integrate artificial intelligence into manufacturing, further cementing China’s position as a global leader in technological development. Patrick Nijs, co-founder of the EU-China Joint Innovation Center, stressed the importance of collaboration in technological advancements. “For a successful ecological transition, we need a structured platform for cooperation between Europe and China to address climate change and enhance industrial innovation,” he stated. His remarks reflect growing European recognition of China’s technological leadership and the necessity of avoiding a technological decoupling between global powers. China’s economic roadmap is also deeply intertwined with its commitment to sustainability. Solheim pointed to “stability” and “innovation” as the two defining themes of this year’s Two Sessions, emphasizing China’s leadership in both economic and environmental sustainability. “Europe will realize that we need Chinese technology,” he remarked, underscoring the growing interdependence between global economies. The government’s plans also include a strong focus on employment and social welfare. In 2025, China aims to create over 12 million new urban jobs while keeping the surveyed urban unemployment rate around 5.5%. With every percentage point of GDP growth generating approximately 2.4 million jobs, this target appears well within reach. Additionally, efforts to promote free preschool education and introduce policies to boost birth rates further demonstrate China’s commitment to long-term demographic stability. In the international sphere, China is reinforcing its high-standard opening-up strategy by stabilizing foreign trade, encouraging foreign investment, and advancing high-quality Belt and Road cooperation. Hong Kong's deputy to the NPC, Ronick Chan Chun-ying, expressed confidence in Beijing’s ability to sustain its growth trajectory. “China has consistently sustained medium-to-high-speed economic growth, and its ability to maintain a 5% growth rate demonstrates the country’s confidence, which in turn strengthens global investor confidence,” he stated. China’s economic plan for 2025 represents a strategic pivot towards innovation-driven growth, increased domestic consumption, and financial stability. At a time of increasing global uncertainty, Beijing is sending a clear message: its long-term ambitions remain firmly intact, and it intends to achieve them through a calculated blend of fiscal expansion, technological leadership, and global cooperation. As the world watches China’s next moves, one thing remains clear—its trajectory will continue to shape the global economic landscape for years to come.