China's Trade Surplus Goal Signals It's Time to Dance With the Dragon

Money Morning submits:

By Kerri Shannon

China's economic model has long been dependent on exports. Over the past several decades, the country has been the world's manufacturing floor, turning the "Made in China" stamp into a common fixture of goods sold in the United States and Europe.

But now China has set a new goal: It will double its imports by 2015, reducing the trade surplus to zero and releasing itself from an export-reliant economy. Beijing this year made this goal a key part of China's 12th Five-Year Plan.

This bold new target represents a major shift in the balance of global trade and a new paradigm for which the United States is not prepared, according to Money Morning Chief Investment Strategist Keith Fitz-Gerald.

"The West needs to realize that the United States is dangerously close to being completely irrelevant to the Chinese growth model," Fitz-Gerald said in an interview. "China will not


Complete Story

Comments

Post a Comment

Popular posts from this blog

*What's Happening*

- Starbucks Menu Expands in China

What's Happening Starbucks Menu Expands in China Dunkin' Brands to Expand in Asia China's new brew AB InBev Acquires Henan brewer China Resources Bought 21.37% Of Kingway Brewery APB to Offload Stake in Kingway Brewery for RMB 1.08 bln Counterfeits in the grape wall of China Chinas Thirst Makes Wahahas Poorest Boss the Richest Wahaha Considering Purchase of Japanese Yogurt Maker, Chairman Zong Says China Imports of New Zealand Milk Jump Five-Fold, Aiding Quake-Hit Nation Swire Pacific profits up 75% Want Want's 2010 Annual Results Skyrocketing Moutai price 'normal' says chairman Chinese find rising price of fiery national liquor unpalatable Chinese mainland liquor maker Dukang issues TDRs on TWSE ZenithOptimedia Beijing scoops media for Kun Lun Shan Mineral Water Carrefour strengthens price monitoring Pharmacy Retail Chain Extends Reach To Shanghai
Keep reading

*What's Happening*


- Kingway Parent Intervenes in

What's Happening Kingway Parent Intervenes in China Beer Deal Heineken Should Target China, Not Latin America China: French wine prestige holds sway over rivals Nitrite-tainted milk kills 3 children in China Dairy firm to milk int'l demand China halts nearly half dairy producers in quality crackdown Natural Dairy plans 3,000 specialty stores across China Sale of Hongkelong reflects trend in retail sector Bright Food May Raise $916 Million Selling Bonds in China, Listing Unit China's Mengniu Gained Net Profit Of CNY1.2 Billion In 2010 China Kangtai Cactus CEO Responds to Allegation
Keep reading

*What's Happening *

- Starbucks to take on Nestle in

What's Happening Starbucks to take on Nestle in instant coffee market Nestl to enter partnership with Chinese food company Yinlu China's leading liquor producers post strong revenues in Q1 Australia Winery Takes Root in China Yum sales surprise, up on strength in China Shaanxi schoolchildren fall ill after drinking Mengniu milk Foreign Dairy Groups Lift Prices in China, Ignore NDRC Calls Asia continues to dominate soy milk consumption Bright Dairy starts work on facility Metro chief plans to open more stores Beijing Jingkelong To Open 30 New Stores In 2011 HNA Retailing Continues to Inject Acquired Assets into Jiadeli Supermarket Ahead of IPO Chamate Forecasts 30 New Retail Tea Outlets Around China In 201! 1 Minute Maid kicks off new marketing campaign in China Pepsi's VP of marketing Yi-Chung Tay to depart
Keep reading