“The Chinese government has the ability to drive sustained economic improvement,” Li said in a speech Tuesday at the opening of the China International Import Expo in Shanghai.
He added that officials had “ample space for fiscal policy and monetary policy,” and reiterated that China would hit its economic growth target of around 5%.
Li’s remarks on the economy underscore the Chinese government’s repeated optimism that the country can reach the expansion target in the face of weak consumer sentiment, deflationary pressures and property market woes. On Tuesday, a private gauge of service activity expanded at the fastest pace since July, a sign that consumer demand may be on the mend.
Investors are awaiting details of fiscal support after the Chinese government unveiled its most forceful stimulus package since the pandemic. The measures unveiled in September, which included interest rate cuts and efforts to boost the property and stock markets, could help lift demand for imports.
Li also appeared to poke at the US and European Union for their trade policies, mentioning “various acts of dishonesty,” without going into specifics.
On Monday, China lodged a complaint with the World Trade Organization over the EU’s levies on Chinese electric vehicle imports. The US has enacted its own EV tariffs, and Washington has also worked to cut China’s access to advanced chip tech, citing military concerns.
Speaking after Li, Malaysian Prime Minister Anwar Ibrahim commended China for its handling of trade in the face of “obscure, condescending and unfair trading practices” by nations he didn’t name.
The trip by the Malaysian leader comes as the Muslim-majority nation draws closer to Beijing, with Anwar openly criticizing the US over its support of Israel. Last month, Malaysia, Indonesia, Vietnam and Thailand became partner nations to the BRICS bloc that China and Russia hope becomes a counterweight to the US-led West.
The remarks by Li and Anwar come just before Americans head to the polls, raising the possibility of a second term for Donald Trump. He has threatened to impose 60% tariffs on Chinese products, a move would nearly certainly prompt retaliation from Beijing.
“His main message was China is strong, the economy is growing and there are all kinds of opportunities,” said Jerry Felton, CEO of Idaho-based vitamin and supplement maker Melaleuca Inc.
Some CEOs also spoke about the challenges, especially with the global economy, said Felton, who attended the meeting.
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