In recent weeks, fall in the China market in the early trade had become a great worry not only for the Chinese economy but all for the world economy. The downfall in market all around the world has affected the countries that have recently started investing over the globe.
China economy seems to have a growth of 6.8 per cent this year, that’s the weakest since last 3 decades. In mid-2000s, china was having a double-digit growth, from overheated growth based on exports and often wasteful investment to slower growth built on consumer spending.
All new inverters are worried to get their desired output from the China market at its best. China market has economic growth of 7 per cent from January to march, yet after this figures the market is failing to capture the extent of the slowdown. Auto sales, electricity consumption and construction activities are all looking very weak, in the recent past.
China and its Economic Factor:
• It’s totally the matter of the fact “MADE IN CHINA”.
• Due to the great man power, but a very little investment in China by the world Market is resulting Chinese economy to fall all the way down to the base.
• China is lacking the investors that totally have hand in China’s market and get their product to be delivered to them from China only.
• Investors lack confidence in better output results.
• Chinese government has not been able to control its economy and financial market.
• Government have tried to clean up the mess by raising the stocks to unsustainable levels and then crashed them.
The Wall Street seems to be effected but only to a very small margin. After all this, 1 per cent annual fall in the China’s economy translates into just a 0.2 per cent pinch to America’s economy.
Its seems to effect the Indian Economy also to some extent, but being only a fractional part Indian economy can survive and can have its stand at this stage of world economy. And being a helping hand to Pakistan, India has strengthened its position over Pakistan in recent times even after Pakistan is being supported by Pakistan.
China should make proper efforts to overcome their bad days, otherwise it will be very difficult for it to rise again and compete with other nations.
Let’s see what future plans they carry to have a comeback.