Berlin, March 21 (Xinhua/Zhu Sheng) China’s share of the global economy will continue to grow, according to a research report released by the Bavarian State Economic Federation.
China, with its large population and strong economy, plays a special role in the economy of the Asia-Pacific region and the global economy, the report said. In 2018, China accounted for less than one-fifth of the world economy, while by 2040, China will generate nearly one-fourth of global economic output.
The report believes that in the next 20 years, the world’s consumption potential and growth momentum will mainly shift to the Asia-Pacific region, among which China will play a very important role. On the one hand, the aging of Western society further, the new consumer groups continue to move to the southeast. On the other hand, China will continue to drive growth in the Asia-Pacific region, which will produce the largest group of middle and upper income earners and generate stronger spending power.
The report also says a new global distribution of economic power is emerging that could affect the way the global economy operates. Deglobalization is increasingly a real threat to all countries and threatens global economic prosperity. “There is no alternative to free trade and international division of labor. Protectionism and trade wars will ultimately hurt everyone.”