tv Frag den Lesch Deutsche Welle October 23, 2020 1:45pm-2:00pm CEST
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china without any trace and also there's a really strict according to policies right now in china so whoever comes from abroad who would have to enter a 14 day card to not at home in a hotel separately so i think from public health perspective yes but if you look at from language from look at from economic perspective for example right now the boost on recovery is quite large leave rely on mass to activities but china is a very important part of the entire supply chain and economic change so how long time i can stay like this or how fast they cannot become almost read it depends on the international and global environment as well something of that's the question people are asking right now and we're coming to that topic in just a moment but i want to have one brief look at china's corona diplomacy and the question of the vaccine because china is now saying that it's likely to have a workable vaccine by the end of the year and that it plans to share that vaccine with its closest and neediest allies so do you think clifford coonan that
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that actually will be the next big triumph for beijing or is this perhaps just ahead a dose of propaganda. i think it's a dose of propaganda i think what we've seen so far has been this wolf so-called wolf warrior diplomacy which has been extremely aggressive characterizing. the equipment that was being sent as age when in fact it was being paid for the criticism of the response by the french government for example has been a lot of of the senior diplomats in europe of being chinese diplomats in europe are being behaved very badly in the recent survey by the pew research body show that the majority of well western companies have a worse opinion of china than they did before the coronavirus i think if the vaccine comes out as it could be does a lot of questions about the vaccine whether they've gone to stage 3 testing if it can happen so quickly. how all of this is happening. so often with china you come
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up against a brick wall where the questions stop you know like how did that how did the virus come about we don't know because nobody can investigate this is a big issue and you know so all of these questions are coming together so i think while the vaccine it may have a short term effect of it is effective but i think longer term these questions still remain. very quickly if you would. are you more optimistic about the vaccine than when we just heard i think it's a bit more nuanced discussion though it appears to be so because right now the front runners are the kind of accident chinese company is part of it but they're also joint ventures for example one of this a vaccine's is actually jointly to develop a by a german company and has investment from u.s. and from chinese company and this is somehow on the private company level so i think i think so on top of a stage promoted and and vaccine development that serves the purpose of
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propaganda there are actually real collaboration is behind that as well so let us now come back to the question of where things go economically from here and the fact is the global economic balance was shifting eastward even before the pandemic so does china's carona success translate into an even more dominant position going forward. higher and higher. new houses and factories are springing up like mushrooms that creates jobs and growth after coronavirus implementing exports the world's 2nd largest economy is now steaming ahead with the help of an economic stimulus package. are being made in both infrastructure and industry but china is not shying away from. our plant which in addition to cement and steel climate. in september the chinese head of state promised the u.n. general assembly that the country. by the year 2016. officially
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china is sticking to but the focus is now on unconditional growth that's one of the reasons why china probably be the world's only major economy to experience growth this year but how high is the price for this upturn. and pass that question. it's rudolph how high is the price growth strategy as. well i think we have to have to see in the next quarter with the. prove to be a sustainable growth model from the chinese side i think at the moment some of the biggest strategic questions remain unsolved which is that many companies in europe and also in the united states are 2nd guessing to what extent their close economic relations with china are in the long term best interests so i think this is
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a question that even intensified and the future they're not and whether german companies profiting from increasing exports to china of course this is the case the question is how sustainable this will be because the structural problems to china is facing and has been facing for for quite some time and they're not being solved with the current stimulus. i could just but of course we have to say that from the chinese that the most important goal there is to become a high tech leader and using as was mentioned before this crisis as an economic opportunity to become to become a world champion to provide the world with solutions in this way but we have to see whether the chinese state's state run process of having this connection to this connection with companies in the states will actually lead to innovation which is helpful to solving the the crowd the questions emerging off the core of the crisis and so in your opening statement you said that china's coded recovery plan is green
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and digitally oriented but $26.00 new coal fired power plants in planning and support for the auto industry would hardly qualify as being very green so is china ultimately prioritizing rapid growth over sustainability i think a we have to look at the so the key what is also planned so the plan is to be greener and to be more digital oriented and they should compare with this stimulates as package release to right after the financial crisis in 2008 back then that 4 trillion run was really carbon intensive and based on building highways and bullet trains and really infrastructures and right now the plan is to build the so-called new infrastructure plans based on ai 5 g. announced a digital infrastructures in a short term look at the economic growth in the sort of quarter of this year is a still quite highly let's say carbon intensive and this think tank
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and they gave under they had a really sort of a very sore a track record not track or the track to how chinese sort of economic boost correlated with. the carbon usage for the for the for this year and at the beginning of a pandemic is a drop down but right now it's going up again cliff or beyond that aren't there are some other hidden weaknesses in china's growth model as well and thinking a very high debt or the fact that china is very very dependent on exports could that ultimately trip china up. well i think people have been calling the collapse of the chinese growth model for a long time so i'm always a little bit wary about jumping in on this but certainly there are high levels of debt but it's also a very huge it's a very large economy and it's shown itself to be very flexible in dealing with changing conditions so i think i think the grow the chinese growth will continue for some time but the export factor is is has been mentioned as well i think it is
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going to come into play again at some point because domestic demand isn't isn't going to be enough to sustain there's other issues facing the chinese economy for example is that it's aging quite fast and. most developed economies are developing economies the idea is to get rich before you get old and china may get old before it gets rich on a broad base level so this is a big factor as well more it's a couple of you have mentioned the fact that despite china's efforts to turn the corona crisis to its public relations advantage abroad in fact wariness of china has grown recently now the fact is that germany has declared a reset on china policy and says it wants to push back much harder for example on human rights issues on the detentions and zhang of the us and so on but isn't germany arguably even more dependent now on china for growth for exports
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for being able to sustain its export model than before. well china. china will be. in some areas it will be a growth engine the general direction of pivoting also away from china looking for other markets in the region i think this is this is a true strategic decision already been made before the corona crisis. was started so i think actually this the necessity to actually continue to move in some areas away from china is actually increasing despite of course in some areas the city to cooperate with and with china as a global player and other areas of course remaining the same but i think strategically there is a move towards less dependency from china looking for other emerging markets in the region which of course let me come back very briefly to our title for one last question and the title of course asked whether china emerges from the corona crisis
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as an economic winner the fact is china while the rest of the world languages will account for over 30 percent of the world's economic growth this year and possibly into the near future as well so what do you think will china use that new power its status as winner to help pull other countries out of their own downturn. i am slightly suspicious because i think if we look at it has to because it depends on global economy but i release from the new strategy that china would like to focus on must take stimulation so i think i'm slightly suspicious of that clifford quick quick answer the same question i think i think it will emerge as an economic winner but i think. i will start with and say one thing we will have to wait and see how the venture plays out as we have to look at what happens in the u.s. particularly in the coming weeks which we haven't really discussed yet so yes a winner but a lot of external factors thank you very much to all of you for being with us for
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