COLD WAR II: Why China Looks Increasingly on the Back Foot.
Russia’s war on Ukraine, and the attendant severe cutback of energy flows to western Europe, drove home the need to avoid over-reliance on one source of supply.
Escalating tensions between the US and China, with Washington pressing its allies to curb sensitive tech exports to Chinese customers, is another dynamic—one that’s combined with Russian aggression to spur companies to consider what might happen if Beijing attacked Taiwan.
Chinese leader Xi Jinping’s crackdown on private enterprises in China, and his intervention with some foreign companies in particular, served as an additional reason for investors to reconsider the nature of the Chinese market.
And now that China’s underlying economic growth is only around 3%, the narrative is a whole lot different then when Western firms flocked to the country decades ago.
The Chinese market look a whole lot different just one decade ago.