Since Xi Jinping came to power, China has been shifting away from the path of liberalization and economic reform that had previously propelled the country to record growth. Centralizing decision-making power has allowed Xi to silence opposition and restrict freedoms, while also halting reforms in the private sector. These actions have had a negative impact on China’s economic growth and deterred foreign investment.
Prior to the pandemic, it was predicted that China would surpass the United States in GDP by 2035. However, with slower growth and increasing mismanagement under Xi, as well as a demographic crisis looming, it may now take much longer for China to achieve this milestone, if at all. The aggressive foreign policies of China have also led to trade and investment being redirected to other countries, further hindering its economic potential.
