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Monday, March 15, 2010

China-Australia economies

HINA'S Premier, Wen Jiabao, has warned that the world risks sliding
back into recession and says his country faces a difficult year trying
to maintain economic growth and spur development.

Mr Wen said yesterday China would not give in to foreign pressure to
raise the value of its currency or withdraw stimulus measures put in
place in late 2008 to pull the country out of the crisis.

In a rare two-hour news conference at the end of China's annual
session of parliament, Mr Wen called for more reforms to the world's
financial system as China ponders policy choices aimed at fighting
rising inflation while increasing domestic demand.

The Prime Minister pointedly highlighted - as he wrapped up the
country's once-a-year, 10-day parliamentary session, the National
People's Congress - how surging commodity prices had been at the
centre of disputes with Australia.

source: http://www.news.com.au/business/chinese-premier-wen-jiabao-warns-of-double-dip-recession/story-e6frfm1i-1225840647902
China's and Australia's economies have become more intertwined in
recent years: the country is now our largest trading partner with
two-way trade surging to $83 billion in the year ending last June 30,
and in December it passed Japan as our largest export market.

Any trouble in China's economy would quickly resonate in Australia.

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