Title: Primary Drivers of the Chinese Economy
Headings: Primary Drivers of the Chinese Economy
Primary Drivers of the Chinese Economy
Industrial Growth
Manufacturing Revenue
Large Production Pharmaceuticals
Chinese Consumerism
China's Economic Concerns
The Bottom Line

Content: After decades of economic stagnation and setbacks under Communist rule, China began to open itself to international trade and liberalize the economy when it established diplomatic and trade relations with the U.S. in 1979. As China's subsequent export growth fueled the growth of manufacturing and urbanization, China rose to be a major global economic power over the next four decades. 3 ﻿
China has faced criticism about how its economy has been able to sustain an average annual growth of almost 10%, though this has slowed in the last few years, with a growth of 6% in 2019, still within China's growth targets. Namely, the government has been accused of manipulating the currency to keep Chinese exports attractive and of not disciplining companies that engage in intellectual property theft. Industrial Growth
Like most countries looking to develop their economies, China’s first step was to build up its heavy industry. Today, China is the world's leader in manufacturing and produces almost half of the world’s steel. 4 ﻿
China’s mining industry extracts coal, iron ore, salt, oil, gas, and gold. To reduce China’s dependence on coal, the country is moving towards more renewable resources and plans to increase its natural gas use in the coming years. China also has multiple oil reserves, as well as natural gas deposits that have yet to be fully explored. The country is also a good candidate for hydroelectricity production, and in 2012, the Three Gorges Dam was completed and is now a major producer of electricity for the southern cities of China (including Shanghai).