Chinese Premier Li Qiang delivered a cautionary address at the opening ceremony of the World Economic Forum’s “Summer Davos” in Tianjin on Wednesday, warning that global trade tensions are “intensifying.”
His remarks came amidst a backdrop of profound changes in the global economy, a veiled reference to the significant tariffs imposed by US President Donald Trump.
“Protectionist measures are significantly increasing, and global economic and trade frictions are intensifying,” Li stated, emphasising that “the global economy is deeply integrated, and no country can grow or prosper alone.”
He advocated for cooperation and mutual success, contrasting it with a “law of the jungle, where the weak fall prey to the strong” approach, particularly in times of global economic difficulty.
Despite acknowledged economic challenges within China, including slowing growth and sluggish consumer spending, Premier Li presented an optimistic outlook for the world’s second-largest economy.
He asserted that “China’s economy continues to grow steadily, providing strong support for the accelerated recovery of the global economy.”
Li also highlighted Beijing’s efforts to expand domestic demand, promoting China’s evolution into a “major consumption powerhouse based on the solid foundation of a major manufacturing powerhouse.”
China aims for a growth rate of around five per cent this year, a target many economists view as ambitious.
The government has implemented various measures since late last year, including interest rate cuts and initiatives to encourage homebuying, though results have been mixed, with US tariffs posing a potential threat to the manufacturing sector.
Li’s speech at the WEF gathering sought to position China as a staunch defender of the rules-based international trading system, which he suggested is under threat from the Trump administration.
His comments echoed President Xi Jinping’s remarks to Singaporean Prime Minister Lawrence Wong the previous day in Beijing, where Xi called for countries to resist a “return to hegemony” and protectionism.
Other leaders at the forum on Wednesday also expressed unease about the increasing fragmentation and conflict in the new historical period, which forces nations to choose between superpowers.
Singaporean Prime Minister Lawrence Wong cautioned against “abandoning the concept of economic integration,” arguing it offers a better chance for peace than a “‘me first’ approach.”
Vietnamese Prime Minister Pham Minh Chinh underscored his country’s balanced foreign policy, noting that the United States is Vietnam’s largest export market while China is its largest source of imports.
He stressed the need for preparedness as global affairs have recently become “topsy-turvy.”
