Expanding imports a choice of China’s economy

Chinese experts believe the country’s expansion of imports is not a makeshift plan but an inevitable choice for the progress of the economy.

China has the ability and confidence to further expand imports after its reform and opening-up.

Su Qingyi, a researcher with the Chinese Academy of Social Sciences, said China is capable of expanding imports to make up for its production insufficiency, as the country’s foreign exchange reserve is large enough to play a role in various fields, and is more capable than ever of creating new domestic jobs.

According to official data, China’s foreign exchange reserves have grown for 8 consecutive months since September 2017, to $3.1 trillion. In the first three months of this year, the registered urban unemployment rate was 3.89 percent, 0.08 percent lower than the same period last year. During the same period, 30 percent of the year’s target to increase urban employment was complete.

China also has the foundation to expand imports. According to statistics, China’s import volume increased by $580 billion over the last 10 years, nearly 20 percent of the world’s total.

To achieve high-quality development, balance should be maintained between imports and exports so that the domestic economy can be better upgraded, said Bai Ming with the research department of the Ministry of Commerce.

For instance, expanding imports of technology, instruments and equipment can help overcome shortages in achieving the “Made in China” plan, and expanding imports of intermediary and capital products will help raise China’s manufacturing and therefore exporting capabilities, Bai added.

Through expanding imports, China will give more benefits to its people short term and make its economy and trade development more balanced.

Analysts also pointed out that increasing imports is a trend conforming to economic pattern and it has to respect the rules in the implementation process.

It is the market not the government that decides from which country and which industries China will import. “Expanding imports is a choice of the enterprises and the consumers,” Bai said.