China reports continuous growth of 3,2% after the pandemic crisis which will have a ripple effect in several other economies that have a part or whole reliance on China.
The coronavirus pandemic, which began in China, affected the world economy, specifically one of the largest economies in the world – China market. Numerous countries were dependent on China supplies and logistic, when suddenly pandemic abrupted and caused an economy crush, paused on any activity, and total lockdown. Nevertheless, as normalcy returns and economic activity resumes, China is finally recovering, and statistic shows 3% growth.
After suffering losses in the first quarter (Q1) of 2020, China has showed that its economy grew by 3.2% in the second quarter (Q2).
As economic activity resumes and restrictions were eased, the country’s dollar-dominated exports and imports rose.
June’s custom data increased as exports rose by 0.5% and imports data showed 2.7% growth. Additionally, yuan-dominated exports raised 4.3% from the previous year, and imports jumped about 6.2%. As for the patient’s number China recorded 78758 Coronavirus Recovered since the epidemic began, according to the World Health Organization (WHO). In addition, China reported 4634 Coronavirus Deaths.
The National Bureau of Statistics of China commented:
“Generally speaking, the national economy overcame the adverse impact of the pandemic in the first half gradually and demonstrated a momentum of restorative growth and gradual recovery, further manifesting its development resilience and vitality.”
According to Bo Zhuang, the domestic economy is doing well with growth in infrastructure and resumption of the interprovincial movement. He also predicts a 5% recovery is “forseeable” in the next two quarters.
China and U.S.
China’s trade deal with the U.S. increased to $29.41 billion. This is a more than $2 billion increase over the $27.89 billion recorded in May. However, there still are some tensions between both countries. Donald Trump blamed China for not acting properly during pandemic and said relationship between the two countries has been “severely damaged” by the it.
Nowadays, the U.S.-China trade relationship supports bout 2.6 million jobs in the United States with jobs that Chinese companies have created in America.
The biggest U.S. companies such as Microsoft Corporation (NASDAQ: MSFT), Apple Inc (NASDAQ: AAPL), Tesla Inc (NASDAQ: TSLA), and lots more have fundamental operational bases in China. The interrelationship between the United States and China thus has the potential to cause a commemorative growth.
As a result of continuous growth in China market Wall Street experienced a significant increase in its stocks. The bullish run on Wall Street comes as a result of hopes in China’s economic recovery which will contribute to global business growth. The Chinese stock market has jumped by about 5% and has been experiencing an uptrend with the Shanghai Stock Exchange rising by 6% in the past week.
China was the first country hit by the coronavirus pandemic and now the biggest world economy is recovering from it giving promising numbers. The crisis has revealed the lack of public medicine system and other weaknesses, but learning lessons from the past we can go to a brighter future! How did your country manage coronavirus pandemic? Share it in the comments below! If you have your question, please write it below, I would be glad to answer your questions or to introduce your project to my team at Astorts Group to be evaluated.
Alessandro Rocco Pietrocola is an entrepreneur and investor based in London and operating mainly in Europe, Asia and Oceania with main focus on UK, Baltic Countries, Russia, China, Hong Kong, Malaysia, Singapore, Middle East and New Zealand as area of interest! At the moment is the CEO of Astorts Group. He is an UK FCA (Financial Conduct Authority) Approved Person and is has great experience as director of regulated companies. He uses to dedicate part of his life to inspire others and help them achieve the most out of their life. Since he was 20, he had successfully founded and managed several companies operating in the field of management consulting, wealth management and fintech. He loves travelling, he is a cigars lover, an amateur golfer and a dapper man.