China – The Economic Miracle

Since its accession to the WTO, its winning the Olympic bids for 2008 and World Expo 2010, more and more companies, both local and foreign are itching their way into Chinese markets, either looking for business opportunities or to expand their business operation in China.

China has been the fastest-growing major nation for the past quarter of a century with an average annual GDP growth rate above 10%. Per capita income has grown at an average annual rate of more than 8% over the last three decades. China saw its export and import volume in service trade (excluding government service) stood at US$ 250.91 billion in 2007,an increase of over 30% from the previous year as according to its the Ministry of Commerce (MOC) report in June 2008.

China as the second largest economy in the world after the US, with a GDP of over US$7 trillion (2007) when measured on a purchasing power parity (PPP) basis. In November 2007, it became the third largest in the world after the US and Japan with a nominal GDP of US$3.42 trillion (2007) when measured in exchange-rate terms.

China is the world’s largest producer of rice and is among the principal sources of corn (maize), wheat, soybeans, peanuts (groundnuts), cotton and tobacco. China is one of the world’s largest producers of several industrial and mineral products, including tungsten, antimony and cotton cloth, cotton yarn, crude oil, coal and other products.

China’s mineral resources are probably among the richest in the world but are only partially developed. She has acquired some highly sophisticated production facilities through trade and also has built a number of advanced engineering plants capable of manufacturing an increasing range of sophisticated defense and power technologies.

In 2007, the European Union was still China’s largest trading partner, and Japan its third largest. Trade with the EU rose 27 percent year-on-year to US$356.15 billion, while Japan reached US$236.02 billion, up 13.9 percent. Trade between Russia and China increased 44%, year-on-year, in 2007 to US$48.2 billion.Further readings on SearchAnythingEurope.com and SearchAnythingRussia.com

China-US Trade, which totaled only US$5 billion in 1980, rose to $387 billion in 2007. China overtook Japan to become the third largest U.S. export market, and overtook Canada to become the largest source of U.S. imports.Further readings on SearchAnythingAmerica.com

Trade volume between China and ASEAN (the Association of Southeast Asian Nations) hit US$202.6 billion in 2007, up 25.9 percent year-on-year, as announced by the China-ASEAN Business Council.More news can be found on SearchAnythingAsia.com

Since its adoption of the "Four Modernizations" – agriculture, industry, science and technology, and defence, just a generation ago, China’s share of world economic output has grown from 3.4 per cent to almost 12 per cent by 2000. China’s booming economy has been hailed as a true economic miracle by many.

China provides huge investment opportunity for many producers of commodities and companies or investors who wish to find a way to place their money into a rich market. On average, China’s economy grows by 10% annually. There continues to be encouraging demand for investment and business growth in China for the next decade.

Paul Hata is active in various social enterprise and community programs aimed at providing equal opportunity to education,health and jobs to all regardless of race or religion.Paul has over 10 years experience in managing a successful multi-million dollar advertising and a company.Paul can be reached at : http://www.tradeplanets.com

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