The United Nations Conference on Trade and Development (UNCTAD) said yesterday (27) that China’s share of global exports grew to nearly 15 percent during the new pneumonia (Chinese communist virus) epidemic, but China’s leadership in global exports is expected to top out soon as domestic demand and labor costs in China rise.
Foreign news quoted the United Nations Conference on Trade and Development data show that last year, the total global exports of goods, China’s share is the world’s highest, growing to 14.7% from 13.2% in the previous year, the second is the United States of 8.1%, Germany is 7.8% share in the third place.
Data show that China’s exports continued their growth trend earlier this year, with exports surging 50 percent to $710 billion in the first quarter compared to the same period. Overall, China is likely to remain the world’s largest exporter in the short term, but its export leadership in the global economy “may be approaching its peak,” according to the UN Conference on Trade and Development report.
The report points out that China’s increasing reliance on domestic demand rather than overseas demand, rising labor costs and increased automation may stimulate more manufacturing to “flow back” to developed countries, all factors that could shake China’s export leadership.
The report mentions that geopolitical tensions and the lack of global action to address social and environmental issues could lead to a “de-globalization” that would have an above-average impact on major exporters such as China.