Decades of rapid urbanization in China created clusters of knowledge, manufacturing, and distribution in areas that benefited from well-established links to the global economy. Now, China is shifting toward a "new normal" – one in which cities will play an even greater role.
HONG KONG – For decades, rapid urbanization in China created clusters of knowledge, manufacturing, and distribution in areas that benefited from well-established connections to the global economy. But that growth model has reached its end. With the share of people living in cities rising to 53% in 2013, from 20% in 1981, China is shifting to a “new normal.” According to President Xi Jinping, the aim is to ensure annual economic growth of around 7%, driven by new opportunities in value-added manufacturing, information technologies, and modernized agricultural production.
HONG KONG – For decades, rapid urbanization in China created clusters of knowledge, manufacturing, and distribution in areas that benefited from well-established connections to the global economy. But that growth model has reached its end. With the share of people living in cities rising to 53% in 2013, from 20% in 1981, China is shifting to a “new normal.” According to President Xi Jinping, the aim is to ensure annual economic growth of around 7%, driven by new opportunities in value-added manufacturing, information technologies, and modernized agricultural production.