Chinese Minister Warns: Global Economy’s Condition Is ‘Grim’
July 10, (EIRNS)—Reuters on July 9 reported remarks by China’s Trade Minister Gao Hucheng, who said that "the global economic situation is complicated and grim," that the G20 would have to take the lead in projecting new investments to revive economic growth, and major economies must lead the way in tackling problems including sluggish growth and weak trade. Gao spoke July 9 at a two-day meeting of G20 trade ministers in Shanghai. China holds this year’s rotating presidency of the G20.
Gao is quoted as saying, "Global trade is dithering, international investment has yet to recover to levels before the financial crisis, the global economy has yet to find the propulsion for strong and sustainable growth." He evidently added, citing WTO statistics, that as low as international GDP growth is, the growth of international trade is even lower, below 3% for the past five years, and falling. "In the current circumstances, the international community expects the G20 to show leadership in resolving the prominent problems we are facing and inject impetus for recovery and growth," Gao said.
The trade ministers’ meeting was marked by charges by U.S. and some European ministers against China, for allegedly "dumping" steel products at low products. China’s steel industry is now the world’s largest and among the most productive and efficient, primarily serving its own domestic demand. The charges allow U.S. representatives, in particular, to ignore the collapse in international economic growth and trade which Gao was warning of.