China has reached the end of its economic boom. What comes next should worry every American business — and the rest of the world.
The phrase “it’s official” sits right alongside “literally” for most frequently misused statements.
I was wondering if the article was about a credit rating change or something, but I’m halfway through and there is no specific event mentioned. Just generalized analysis and forecasting.
Ugh, learn to data. Maybe the analysis is spot on, but “trust me bro” is not a valid citation.
That’s Business Insider for you
It’s official!!! Business Insider is shit
It’s literally official, you read it here first.
Bro china’s gonna fall any day now, trust me bro. Bro this is different bro, they’re falling bro. Dude any day now they’re gonna fall bro you gotta believe me bro.
That is undoubtedly true. They are protected to lose a shit ton of their population. By 2050,they will likely have 100 million fewer people. They are projected to lose another 100 million the following decade.
Granted that is a couple decades away.
But the demand for useless junk isn’t going down (see Black Friday), so China will remain a player in making scrappy junk sold for far too much.
Can’t wait for this cash grabby capitalist stage to die out.
China will remain a player in making scrappy junk sold for far too much.
For the short term, yes. Longer term, companies are already trying to shift supply chains away from China. India, for example, has been seeing interest and investment as either a second source or a replacement source of cheap labor. The US and EU have already taken steps to start de-risking or de-coupling from China. The US CHIPS Act being one of the more visible examples. Though that whole process will take time and China will be a major player in manufacturing for years to come, while that process is ongoing.
for example cnn.com
That’s roughly equal to losing Germany, France, and Italy, the three most populous EU countries.
As a French I find this terrifying
I don’t directly deal with China, but I do know that it’s pretty much the only place where you can say “I need a factory with 20k people manufacturing a million of these widgets per month,” and it just gets done. There’s obviously all kinds of bad baggage that goes along with that, and yes it’s perhaps ironic that a “communist” country is the go-to place for labor exploitation, but that’s how it is right now.
China may have been guilty of enthusiastic over-investment that got ahead of where their market actually was in areas like real estate. That’s again ironic because that’s exactly one of the weaknesses of market systems.
In the other hand it’s not really ironic because China is actually the apotheosis of state capitalism.
I feel like a lot of people were looking to see China to become the world’s largest economy soon, but it is becoming apparent that China’s economic growth is no longer sustainable.
We also don’t know what a Chinese recession is going to look like. We’re at the collapse of Bear Stearns point in what’s going on in China and it isn’t like China can pump its economy through infrastructure spending.
I know from personal experience that while Chinese factories are great for mass manufacturing, things really start to go out the window once you get into precision engineering. My company put a ban on ordering any parts that need high metal purity (95%+) from China or India because they would just falsify their material test reports constantly.
To be clear, you can at great cost overcome those issues too and maintain a good level of supply chain integrity, however it costs so much doing so only makes sense when manufacturing on a huge scale - tens of millions at least with each item being very valuable. Ie…iPhones.
The vast majority of stuff that people want made in China isn’t nearly that profitable.
The title is clickbait, but the article itself is worth a read
Seeing that it’s from businessInsider, going to assume it’s some random blogger who is trying to sell a book or be a influencer in some space.
Not in this case, it’s a full length deep dive article.
This seems a little too sensational to be trustworthy. I’d take it with a grain of salt. China, like the US, is an economic superpower. Economies have ups and downs, and China still has a long road ahead.
As @sik0fewl mentioned. China has a population problem, a huge population problem.
Most of the developed world does but most also have large immigration numbers to offset it. The USA is the same, immigration is the main driver of its population growth and population growth is the main driver of maintaining and expanding a countries GDP.
They scale that china’s population will crash over the next 30 years is hard to grasp.
The number of people they have who are of working age will drop by ~100 million. While at the same time the USA will grow in that range.
That is the difference between the two…
Interesting. I look forward to seeing how the future unfolds.
With RES I used to filter all businessinsider.com posts since they’re just garbage articles. Wish I could do the same here.
Two clicks with Kbin.
Alternatively, one could also use uBlock Origin cosmetic filters;
Kbin:
kbin.social##article:has-text(/businessinsider.com/i)Lemmy:
lemmy.world##.post-listing:has-text(/businessinsider.com/i)Today I learned
China has a huge population problem.
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business insider
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They’re literally getting stronger
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No, it isn’t. China is just no longer growing at the unrealistic expectations of US economists.
It isn’t just the unrealistic expectations of US economists, but the Chinese government as well.
It’s official: Click here to find out the 10 facts that Winnie the Pooh doesn’t want you to know about China
I didn’t even know China was dominating us tbh
There’s a good YouTube video titled something like “china’s economy is 60% smaller than they state”. It’s worth watching.
oh my god, haven’t we had enough global crises over the last 3 Years? i mean i hate china too, but we’re still dependent on their economy.
