Editorial | China offers stability in a world roiled by rising trade tensions

The annual China Development Forum for 25 years has offered rare opportunities for top foreign CEOs from the US, Germany, UK and elsewhere to meet with top Chinese leaders and share concerns about challenges they face in the vast market.

This year there seemed to be a discernible shift in the major source of concern, which in the past has ranged from overcapacity to unfair barriers to foreign businesses.

Now, external pressures from trade turmoil and geopolitical tensions in the wake of US President Donald Trump’s return to the White House are impossible to ignore.

Canada and Mexico have found themselves in the American protectionist crosshairs, as has Beijing, whose exports to the US now see 20 per cent levies. Reciprocal tariffs against more countries are potentially on the way.

The tensions were acknowledged by Premier Li Qiang, who in a speech offered reassurances to the top foreign executives while pledging to expand market access.

Significantly, he told them China was prepared for external shocks and would roll out new policies, if required, to ensure the economy kept operating smoothly.

“In today’s increasingly fragmented world with rising instability and uncertainty, it is more necessary for countries to open up their markets and enterprises … to resist risks and challenges,” Li told the forum, just after the parliamentary and top advisory body meetings concluded after setting an annual growth target of about 5 per cent.