China’s Economic Influence and Ambitions: Balancing Security-Centered Goals, Unique Economy, and Global Impact

China’s economic growth and global ambitions have been driven by decades of reform and opening up to the world. With its massive industrial capacities and trade footprint, China has become a major player on the global stage. In terms of purchasing power parity, China’s economy surpassed that of the US in 2017. When looking at industrial value-add, including manufacturing, mining, and utilities, China overtook the US in 2011 and has continued to outpace US industrial power ever since. In 2023, China accounted for a significant portion of global trade and foreign direct investment, showcasing its growing economic influence.

Beijing’s approach to global economic power differs from traditional US-style globalization. China is wary of unfettered globalization and is pursuing a strategy that reflects its unique economic system and security concerns. As Beijing prepares for increased rivalry with the US and its allies, China is using guerrilla strategies to gradually achieve its goals without direct confrontation. This approach allows China to target smaller sections of their adversaries’ resources in order to slowly deplete their larger opponent.

According to Max Zenglein and Francois Chimits of the Berlin-based think tank MERICS, Beijing’s pursuit of global economic power is shaped by a combination of security-centered goals, a Marxist-Leninist economic system, and ambitions for greater global influence. They highlight how China’s growing economic influence is a complex balancing act that requires careful navigation of international relations and internal dynamics.

China’s economic growth has been fueled by decades of reform and opening up to the world. With its massive industrial capacities and trade footprint, China has become a major player on the global stage. In terms of purchasing power parity, China’s economy surpassed that of the US in 2017. When looking at industrial value-add, including manufacturing, mining, and utilities, China overtook the US in 2011 and has continued to outpace US industrial power ever since.

In recent years, Beijing has adopted a unique approach to global economic power that differs from traditional US-style globalization. Beijing is wary of unfettered globalization and is pursuing a strategy that reflects its unique economic system