Xi holds the Trump card
Trump gets re-elected in November and implements his promise of imposing a 60% tariff on Chinese imports? A step like that would affect the economies of many countries, including India, as new opportunities as well as challenges would arise.
So far, Beijing has been silent about how it will deal with this possible Made-in-America challenge. Premier Li Qiang recently presented his 'work report', the Chinese version of a budget speech, without revealing much about the country's economic strategy to deal with this and other issues. Chinese leaders are watching the evolving situation within its own economy and the US political scene, instead of rushing to formulate new policies.
CPC has also not held its third plenum to formulate economic policy for 2022-27. The party holds seven plenums on different issues every five years, and the third one is reserved for discussion on economic matters. Silence on the part of authorities is giving the impression that Xi Jinping, who also happens to be party general secretary, is ending the tradition.
The move is authoritarian even by Chinese standards. Decision-making on economic affairs has shifted to the Commission for Comprehensively Deepening Reform (CCDR), which works directly under Xi, the 'core leader', instead of opening it up for discussion among a wider ring of communist leaders. The new trend is closed-door decision-making among select Xi aides.
The much-expected stimulus package for reviving the economy is missing in the budget speech, raising questions about whether
