May 28, 2024 Need-to-Know Research
China’s “two-speed” growth path since the pandemic — where officials took advantage of booming exports to crackdown on the property sector — is set to shift course, according to Macquarie Securities’ Larry Hu.
“As long as exports remain robust, Beijing will stick to the current growth model despite talk of ‘overcapacity.’ But the model will become unsustainable once exports lose steam. The exact timing depends on the health of the US economy and the evolvement of trade protectionism.”
And when the two-speed model stumbles, officials will boost stimulus to put domestic demand in the economy’s driver seat once more, Hu says.
https://www.bloomberg.com/news/newsletters/2024-05-28/world-economy-latest-overcapacity-is-the-new-buzzword-to-whack-china
https://archive.ph/zWfpO#selection-2329.0-2339.141
My 2 cents is that that this tends to happen when things are well run or managed.
You put yourself in the best position to succeed. The Chinese government has delivered that.
