China focuses on the domestic market for economic recovery

At a time when China is facing a threat to its exports worldwide, the country is looking at the domestic market to give a boost to its economy. The recovery in China has come earlier than many other big global economies, and hence, the best market for Chinese goods now is China itself. 

Yiwu is the world's largest small commodity wholesale market in east China's Zhejiang province. The trade city has now rolled out various schemes to meet the demands of domestic traders as Asia's largest economy is looking inwards for economic growth. 

The Chinese government, foreign trade companies, and e-commerce platforms have taken a series of measures to divert marketable export-oriented products to the domestic market to relieve the impact of COVID-19 on foreign trade companies. 

"We have a huge domestic market with a population of 1.4 billion, so there is enough market room for our exports to turn to the domestic market," said Gu Xueming, President, Chinese Academy of International Trade.

Chinese authorities are giving importance both to foreign trade and domestic sales for economic growth. The businessmen are trying to increase market shares in domestic supermarkets and department stores. 

In the Chenghai district, Shantou city of south China's Guangdong province, toy export businesses are also turning to the domestic market. The local government has organised several leading e-commerce platforms to pull factories, foreign trade companies, and domestic consumers together, with the innovation of new sales modes based on live streaming and short videos.

Experts expect the Chinese economy to come back on the growth path before rebounding in the second half of the year.

The strict lockdowns imposed in China are steadily being relaxed in recent months and demand is coming back as a result of this. But coronavirus is a threat that still has not waned away and the recent spur in coronavirus cases in Beijing has forced authorities to go for mass checking. Logistics and delivery service sectors in Beijing have ramped up testing for all staff members over the weekend to contain the spread of the novel coronavirus. Beijing reported nine new confirmed COVID-19 cases on Sunday. The capital has recorded over 230 new infections since June 11. 

But the coronavirus cases are much less as compared to many big markets globally. So the best markets for Chinese products are now being explored in China itself.