The Emerging Global Order: China’s Outreach within a Managed and Competitive Framework for the Quads and Others

Abstract

China’s economic development and growth during the last part of this century are exemplary. Growth rates and the GDP exceeding 10% have allowed China to achieve economic development for its middle class. A significant proportion of its 1.3 billion individuals have been lifted out of poverty, and following the COVID-19 pandemic, the Chinese GDP for 2021 is estimated to exceed 6%. China is also leading in terms of innovation, artificial intelligence, and transportation. High-speed trains with speeds north of 200 kph have managed to connect the country and have made it possible for the rural population to move about and work in urban areas. Chinese workers in urban communities have managed to create a large financial savings pool and have sent back money to their rural families, making it possible for all Chinese to improve their lifestyles. Today, China’s GDP is second to that of the United States; however, in terms of purchasing power parity (PPP), analysts argue that Chinese GDP is higher than its proclaimed value of 11 trillion dollars. Regardless of the numbers, early during the 2030s, China’s GDP will equal or could surpass that of the United States. By that time, also, the Chinese currency could begin to be used as a currency for far more of world trade, investments, and could allow the Chinese currency to compete with the established financial power and liquidity of the US dollar. Another area of arrival and reach of the Chinese economy relates to the fact that technology and Artificial Intelligence are going to be sectors, whereby the Chinese can continue to compete and challenge both the United States and the European economy. Japan, the traditional second-leading economy following the United States, has lost to the Chinese, and not far behind, India, is equally emerging to be a source of technological development, Artificial Intelligence, and with its highly educated population and their ability to speak English, the arrival and reach of China could find potential challenges. In 2020, China was one of the leading exporters, along with the United States and Germany. While continuing its position as a leading exporter, the Chinese government believes that the emerging middle class will make it possible to continue its economic growth without its earlier reliance on exports. China has grown within Asia itself with significant investments in countries like Cambodia and Vietnam, among others. Another aspect of Chinese arrival and its growth in markets outside its country is the ability of JOURNAL OF ASIA-PACIFIC BUSINESS 2021, VOL. 22, NO. 2, 105–108 https://doi.org/10.1080/10599231.2021.1905491