China to stick with ‘around 5%’ GDP target in 2025 despite Trump tariff threat: economist
US President-elect Donald Trump has said he would impose a 60 per cent tariff on Chinese goods
China is expected to set its economic growth target again at “around 5 per cent” in 2025 despite the looming threat of increased tariffs under Donald Trump’s second term as US president, as Beijing would accelerate stimulus support accordingly, according to a prominent Chinese economist.
The potential trade shock may slow overall growth in early 2025, but China’s economy is expected to pick up momentum later in the year to achieve the annual growth target, said Zhang Ming, deputy director of the Chinese Academy of Social Sciences’ Institute of Finance and Banking.
“The tariff shock brought by Trump’s inauguration will have a significant negative impact on China’s export growth in 2025,” Zhang wrote in an article published on his WeChat social media channel on Wednesday.
Exports account for around 20 per cent of China’s total gross domestic product, with the United States one of its biggest trading partners.