China’s successes over the past 10 years are truly impressive. The country has achieved a breakthrough of such scale that the whole world has witnessed its economic power. In the aftermath of the global financial crisis, while chaos gripped the world, China’s economy proved resilient, demonstrating the existence of a strong foundation built through policies of reform and openness. While many developing countries struggled to solve their pressing problems, China became an international donor, offering loans to developing nations. To provide concrete evidence rather than mere words, we would like to present the breakthrough China made between 2010 and 2020.
Fact 1: Colossal GDP Growth in China from $6 to $14 Trillion (2.3 Times Increase)
While global economic growth slowed in the face of crises, China’s growth rates were unique. Moreover, China managed not only to make a big leap domestically but also to extend a helping hand to Asia-Pacific countries. Alongside GDP growth, China’s GDP per capita rose from $4,550 in 2010 to $11,819 in 2020. China’s per capita GDP surpassed the global average, which stands at about $10,000.
Fact 2: Increase in the Number of Foreign Trade Partners
Additionally, China has become a key link in global trade, overtaking Japan, as most shipments from the Asia-Pacific region are now handled by China. Over 10 years, China’s foreign trade volume more than tripled, rising from $1.57 trillion to $4.97 trillion. What played the most significant role in promoting Chinese goods abroad? The answer is simple—the development of digital trading platforms such as Taobao.
It is important to note that the digital economy has also had a significant impact on many other sectors of Chinese industry. Thus, over the past decade, the contribution of the digital economy to China’s GDP grew from 3.3% to 38.6%. We forecast that this figure will only continue to increase, as China is now actively integrating all its services into cloud environments, and the development of next-generation networks is streamlining many processes, from public administration to production and local logistics solutions.
Fact 3: Increase in R&D Spending
Fact 1: Colossal GDP Growth in China from $6 to $14 Trillion (2.3 Times Increase)
While global economic growth slowed in the face of crises, China’s growth rates were unique. Moreover, China managed not only to make a big leap domestically but also to extend a helping hand to Asia-Pacific countries. Alongside GDP growth, China’s GDP per capita rose from $4,550 in 2010 to $11,819 in 2020. China’s per capita GDP surpassed the global average, which stands at about $10,000.
Fact 2: Increase in the Number of Foreign Trade Partners
Additionally, China has become a key link in global trade, overtaking Japan, as most shipments from the Asia-Pacific region are now handled by China. Over 10 years, China’s foreign trade volume more than tripled, rising from $1.57 trillion to $4.97 trillion. What played the most significant role in promoting Chinese goods abroad? The answer is simple—the development of digital trading platforms such as Taobao.
It is important to note that the digital economy has also had a significant impact on many other sectors of Chinese industry. Thus, over the past decade, the contribution of the digital economy to China’s GDP grew from 3.3% to 38.6%. We forecast that this figure will only continue to increase, as China is now actively integrating all its services into cloud environments, and the development of next-generation networks is streamlining many processes, from public administration to production and local logistics solutions.
Fact 3: Increase in R&D Spending
China has long realized that a major economic leap is possible because of modern scientific and technological breakthroughs, which is why R&D spending has been gradually increasing. Over the past 10 years, it has grown from 1.7% of GDP to 2.4%. In absolute terms, this accounts for over 20% of global R&D expenditures, further confirming that China is a driving force of global development.
But is everything really so smooth? There is always a price to pay for success. China has a tremendous number of industrial enterprises, which leads to serious environmental issues. To address this, China needs to transition to renewable energy sources. In 2010, the share of renewables in China's electricity generation was about 13%; today it is 38.6%. That means a third of all energy in China is produced by solar, wind, and other power plants that do not use coal, gas, or other resources.
Fact 4: Victory Over Poverty
While the rest of the world in 2020 was mired in the crisis caused by the COVID-19 pandemic, China announced nothing less than a complete victory over poverty. In 2010, 17.2% of China’s population lived below the poverty line; according to Chinese statistics, that figure is now zero. Whereas previously, most people associated China with cheap toys and rice fields, today Chinese citizens are seen as some of the world’s wealthiest tourists—as evidenced by queues at TSUM in Moscow or LV on the Champs-Élysées in Paris. In the past 10 years, the number of dollar millionaires in China has grown by 600,000, reaching 1.6 million—clear evidence of rising wealth in China.
About RASPP
But is everything really so smooth? There is always a price to pay for success. China has a tremendous number of industrial enterprises, which leads to serious environmental issues. To address this, China needs to transition to renewable energy sources. In 2010, the share of renewables in China's electricity generation was about 13%; today it is 38.6%. That means a third of all energy in China is produced by solar, wind, and other power plants that do not use coal, gas, or other resources.
Fact 4: Victory Over Poverty
While the rest of the world in 2020 was mired in the crisis caused by the COVID-19 pandemic, China announced nothing less than a complete victory over poverty. In 2010, 17.2% of China’s population lived below the poverty line; according to Chinese statistics, that figure is now zero. Whereas previously, most people associated China with cheap toys and rice fields, today Chinese citizens are seen as some of the world’s wealthiest tourists—as evidenced by queues at TSUM in Moscow or LV on the Champs-Élysées in Paris. In the past 10 years, the number of dollar millionaires in China has grown by 600,000, reaching 1.6 million—clear evidence of rising wealth in China.
About RASPP
The Russian-Asian Union of Industrialists and Entrepreneurs (RASPP) is a public organization that implements government cooperation programs aimed at strengthening collaboration between public and business associations in Russia and Asian countries.
One of RASPP’s most important tasks is to assist the business communities of Russia and Asia in developing and strengthening multilateral relations, as well as attracting investment into the Russian Federation. Over 10 years of activity, RASPP has attracted more than $800 billion in direct foreign investment to Russia and increased trade turnover by more than $1 billion.
RASPP specializes in business solutions in the fields of import, export, investment attraction, and implementation of investment projects in Asian countries, as well as organizing business events and trade missions in these areas. In addition, RASPP provides assistance and helps companies find industrial equipment in China free of charge.
Advantages:
For consultations, you can send a request by email to business@raspp.ru or by phone at +7-963-963-8363. Natalia Sapunova, Head of the Department for Trade and Economic Cooperation at RASPP, will be happy to assist you.
One of RASPP’s most important tasks is to assist the business communities of Russia and Asia in developing and strengthening multilateral relations, as well as attracting investment into the Russian Federation. Over 10 years of activity, RASPP has attracted more than $800 billion in direct foreign investment to Russia and increased trade turnover by more than $1 billion.
RASPP specializes in business solutions in the fields of import, export, investment attraction, and implementation of investment projects in Asian countries, as well as organizing business events and trade missions in these areas. In addition, RASPP provides assistance and helps companies find industrial equipment in China free of charge.
Advantages:
- Over 10 years of experience
- Russian-speaking specialists in China
- Turnkey supply organization
For consultations, you can send a request by email to business@raspp.ru or by phone at +7-963-963-8363. Natalia Sapunova, Head of the Department for Trade and Economic Cooperation at RASPP, will be happy to assist you.