China Has More Economic Tools in Reserve to Tackle Trump’s Trade Threats
- THE CHINA NOW
- Mar 7
- 3 min read
Summary
China’s government has pledged to use additional fiscal and monetary tools to handle both internal and external economic risks amid ongoing trade tensions with the United States.
The government aims for a growth target of 5% in 2025, with a focus on increasing domestic consumption and supporting technological innovation.
China plans to allocate nearly 1 trillion yuan (US$137.9 billion) in a guidance fund to promote industrial upgrades and enhance its tech sector.
As China faces mounting economic challenges, including intensifying trade tensions with the United States, top government officials have vowed to use all available fiscal and monetary tools to safeguard the country’s economic stability. In a press briefing during the annual “two sessions” policymaking meetings, Finance Minister Lan Foanemphasized that China has set aside a range of reserve tools to cope with both internal and external uncertainties. These tools will be deployed as needed, ensuring the country is prepared for potential economic shocks.
