Economic resilience limits impact of tariffs

Editor's note: China's economy remains resilient with reforms continuing to yield results in the last year of the 14th Five-Year Plan (2021-25) despite the internal and external pressures, while confidently moving toward realizing high-quality development. Three experts share their views on the issue with China Daily.

The US administration is contemplating its next move following China's swift response to the US' recent arbitrary increases in tariffs on Chinese goods. China's economic resilience has seemingly changed the calculus of trade disputes. While the United States has been using tariffs as a tool to coerce China into giving concessions, Beijing's response not only demonstrates defiance but also highlights that its economic ecosystem is capable of withstanding external pressures.

China's most powerful economic shield against external pressure is its massive domestic market of over 1.4 billion consumers. Unlike export-dependent economies that can be crippled by major trade restrictions, China has in recent years pivoted toward a "dual circulation" development paradigm in a bid to boost domestic consumption and transform it into a primary growth engine. "Dual circulation" development paradigm allows domestic and overseas markets to reinforce each other, with the domestic market being the mainstay.