According to Zhang Tao, member of CF40 Academic Commitee, China will be the first to restore substantial production capacity after it succeeds in combating the pandemic. mp.weixin.qq.com/s/E8Vivg7Bhd9v…
Taking into account that China is at the supply side of a large number of #globalsupplychains for medical and pharmaceutical resources, other economies could overcome the pandemic with the support from China.
It is worth noting that how powerful China's role will be and how soon China’s support will take effect is influenced by three factors.
First, whether the pandemic will recur when China takes further control measures.
Second, with regard to #domesticdemand, it is difficult to make up for certain output losses in consumption, even the #investment will be made with great reluctance, how to effectively match the upstream and downstream demands of the supply chain is still facing great uncertainty
Third, the demands in Europe, the United States and other countries have completely disappeared or significantly shrunk, and the prospect of foreign orders at Chinese exporters is indeterminate.
In 2019, China's #exports accounted for about 18% of its GDP. Weak external demands will eventually exert a significant impact on the economic recovery of China.
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