Opinion | Why Trump’s tariffs might be just what China’s ailing economy needs

When it comes to explaining the state of China’s economy, beleaguered Chinese investment bankers have reportedly begun employing clandestine tricks in their sales pitch meetings with overseas fund managers in Hong Kong and elsewhere.

Based on anecdotal stories I’ve heard from several fund managers, these meetings typically start with salespeople presenting well-crafted slides that paint a rosy picture of China’s buoyant economic activities. They echo the official line that the country will have little trouble meeting its 5 per cent growth target despite a myriad of domestic and international challenges.

Often accompanied by a wry smile, the speaker would then say, “That is the official version we are supposed to tell you. Now here is what we really think …”

In the first version, widely promoted on the mainland, the country’s leaders and official media talk up a confident economy on an upward trajectory. China is the world’s largest producer of electric vehicles and a key driving force for global economic growth, accounting for more than 30 per cent in 2023.

Under the specific instruction to “promote a positive narrative about the bright prospects for the Chinese economy”, anyone – particularly influential economists – attempting to deviate from the official line and offer alternative theories are muzzled or face even worse punishments.