When Commerce Secretary Gina Raimondo lands in Beijing for an expected visit next week she’s likely to hear an unprecedented request from her hosts: Help us with our struggling economy.
Raimondo’s long-anticipated visit coincides with a worsening downturn in China’s financial health marked by plunging exports and foreign investment as well as soaring youth unemployment. The latest data suggest that the once-unstoppable economic juggernaut has finally hit a serious pothole.
That’s a diagnosis that both President Joe Biden and Chinese paramount leader Xi Jinping agree on. Xi warned his senior leadership last month in notably frank terms that “China‘s economy is facing new difficulties and challenges.” Biden piled on earlier this month, hinting that China’s economic woes could pose domestic stability risks for Xi.