At the Summer Davos Forum held in Tianjin, Chinese Premier Li Qiang stated that China is working to transform itself into a 'super-sized consumer nation.' He emphasized enhancing the domestic demand strategy and launching special actions to stimulate consumption, aligning with recent comments from Vice Premier He Lifeng. Experts have noted that China faces a shrinking consumer market and overly optimistic growth targets, making it difficult for foreign investors to overlook the realities of the market.

Li Qiang highlighted that China possesses nearly 50 trillion yuan in consumption, over 50 trillion yuan in investments, and over 20 trillion yuan in imports, indicating substantial growth potential across various sectors. He further emphasized that the Chinese economy will embrace global markets and contribute to global growth, expressing a willingness to tackle economic challenges worldwide. Such statements have been echoed by Chinese leaders in international forums.

However, foreign investors are concerned about the sustainability and stability of this supposed vast consumer market, especially considering current employment and income challenges. The consumer environment is characterized by a continued downward trend in household spending, with inflation and deflation posing significant risks to consumer confidence. In this context, the core of economic development lies in improving consumer capacity.

This declaration from Li Qiang serves as a goodwill signal to the international community, especially as the U.S.-China tariff war draws near the end of its 90-day window. Even after this period, will the expectations for Chinese economic growth remain stable? Li Qiang emphasized that China has achieved great success through openness and will continue to open its doors wider while strengthening industrial cooperation with various countries.

China's central and local governments are advancing consumption stimulus policies, such as the trade-in program for durable goods, which aims to stabilize market expectations. Although the concept is not new, this version introduces provincial fiscal management, showing new approaches. Nevertheless, the underlying issue remains the actual purchasing power of the citizens.