MEXICO CITY: China’s new economic development pattern of “dual circulation” can successfully promote sustainable growth and cushion the economic impact of the COVID-19 pandemic, said Mexican Economy Minister Graciela Marquez.
Emerging in May, the new pattern takes the domestic market as the mainstay while allowing domestic and foreign markets to boost one another.
In an online exchange with journalists earlier this week, Marquez said she recently spoke with Chinese diplomats in Mexico about the post-pandemic process of economic recovery in China and Mexico as well as the benefits of “dual circulation.” China’s new development pattern addresses the pitfalls of a volatile foreign market without “moving towards protectionism” but rather by “recovering productive capacities to energize its global presence,” said Marquez.
Similarly, Mexican President Andres Manuel Lopez Obrador has always put the emphasis on the domestic market as an engine of the economy, instead of betting everything on the export sector, Marquez noted.
China has achieved remarkable economic development in the past 15 years, while today the Asian country is leading the way to post-pandemic growth with policies that have effectively promoted economic recovery, she said. According to data from China’s National Bureau of Statistics, in the second quarter of 2020, China’s gross domestic product grew by 3.2 percent year-on-year as the country gradually recovered from the blow of the pandemic in the first half of the year. Moreover, to spur global growth through stepped-up trade, China has taken concrete steps such as hosting the China Import and Export Fair, also known as the Canton Fair, the China International Import Expo, and the China International Fair for Trade in Services, said Marquez. It is evident that China has become deeply integrated in globalization and is aware it cannot expand domestic demand without a smoothly operating global value chain, she added.