Economists call for structural reforms to shift China’s focus to consumption
South China Morning PostFriday, June 27, 2025 at 4:00:13 AM
While China’s tech advancements—like the buzzy DeepSeek AI model—have grabbed headlines and fueled national pride, economists at a major conference in Tianjin are sounding a different alarm. They argue that flashy innovations alone won’t secure long-term prosperity unless China overhauls its economy to prioritize domestic consumption over exports and investment. "Tech leadership is great, but without a shift to spending at home, China won’t truly join the ranks of wealthy nations," warns economist Jin Keyu.
Editor’s Note: This isn’t just academic chatter—it’s about whether China’s growth model can keep delivering for its people. Right now, the economy leans heavily on factories and infrastructure, but if ordinary Chinese don’t start spending more (and feeling confident enough to do so), the country could hit a ceiling. Think of it like a high-tech engine with an outdated fuel system: cool gadgets won’t matter if the underlying mechanics stall. For global markets, this debate signals potential turbulence—or opportunity—ahead.
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