This assignment presents about the role of Chinese economy in the 21st Century.

1. The role of Chinese
Economy in the 21st century
World Economy

2. Contents
•Introduction
•China after the World War
•The Chinese early strategies
•Performance and the role of the Global
& Chinese Economies in the 21st
Century
•Future of Global and Chinese Economy.
•Conclusion and Recommendations

3. Apart from Roman, Egyptian, Persian civilizations China is
one of the world's oldest civilizations.
Over 5,000 years, it developed from primitive society to
socialist society.
The start of Qin Dynasty in 221BC marked the rise of
federalism that ruled China for over 2400 years.
The Year 1949 saw the founding of the People's Republic of
China, a new page has been unfolded from them
estimated population of over 1.3 billion & There are 56
ethnic groups in China.
China is divided into 35 administration unites, including 23
provinces, five autonomous regions
Introduction to China

4. China after World War 2
•In 1949 China’s government goal was to
restore the economy and develop.
•China Implements its first 5 Year Plan in
1953
•By 1956 approximately two thirds of
industrial enterprises were state owned;
the remainder were jointly owned.
•Reform of the economic system,
beginning in 1978, in which more
emphasis was given to Market
mechanisms.

5. • Government control & planning
was reduced, compared to early
periods
• restrictions on trade were
loosened further in the mid-
1980s, and foreign investment
was legalized.
• 1979 to 1981 was the period of
readjustment in China where
they came up with several
strategies.

6. Early Strategies
•expand exports rapidly
• overcome key deficiencies in transportation,
communications, coal, iron, steel, building
materials, and electric power; and redress the
imbalance between light and heavy industry by
increasing the growth rate of light industry and
reducing investment in heavy industry.
• Agricultural production was stimulated in 1979
by an increase of over 22 percent in the
procurement prices paid for farm products.

7. Performance of the Global
Economy in the 21st Century

8. The Performance of the
Chinese Economy in the 21st
Century
• With a population of 1.3 billion, China recently
became the second largest economy and is
increasingly playing an important and influential role
in the global economy
• has seen sharp increases in productivity and wages
that have allowed China to become the world’s
second-largest economy.
• China has emerged as the world’s largest
manufacturer according to the United Nations
(China overtook Japan as the world’s second-largest
manufacturer on a gross value added basis in 2006
and the United States in 2010)

9. China as Top Exports

10. • 2000, China’s leaders initiated a new “go global”
strategy, which sought to encourage Chinese firms
(primarily SOEs) to invest overseas
• Chinese merchandise exports rose from $14 billion in
1979 to $2.3 trillion in 2014

11. China as the World’s Largest Manufacturer

12. China as a Global Player
•China’s Major Trading Partners

13. China’s Regional and Bilateral
Free Trade Agreements
•The Chinese government has maintained an
active policy of boosting trade and
investment ties around the world, especially
with countries In Asia.
•China currently has free trade agreements
(FTAs) with ASEAN,
•China has agreements with most of Latin
America, Africa & is negotiating with the Arab
States.
•The country also maintains strong
relationships with Australia & European
countries like Switzerland.

14. Major Long-Term Challenges
Facing the Chinese Economy
• Environmental Challenges
A 2014 OECD report estimated the health
costs of China’s air pollution in 2010 at
$1.4 trillion.
•High levels of inequality
more than 70 million are considered poor
in rural areas
•Rapid urbanization causing Demographic
Issues

15. Major drives of China’s success
•Introduction of market mechanisms
•Modern Technology
•Management and Lessons from the west
•Extraordinary job from Chinese Government
to convert isolated communist nation to a
open developed economy today
•Chinese people are ambitious, hardworking,
thrifty, care for their families and relentlessly
pursue good education and success.

16. Future of Global and Chinese
Economy

17. Recommendation
•While growing as a economy they should do
more research on conserving the environment.
•Provide incentives to the poor rated people
through social welfare.
•GO “GREEN” policies to protect the harm from
urbanization.
• Develop more favorable cooperate taxes

18. Conclusion
•China leads in Innovation, meaning that the
Country promotes innovation heavily & is
successful in doing so.
•It proves that china is one of the key players in
the growing global economy.
•Through evaluation it showed that China and
India are major competitors with the US
economy.