Mar 27, 2018

Xi moves a pebble in China’s economy and Australia suffers an earthquake

No matter the result of the economic standoff between China and the US, Xi Jinping's moves to shed China's extraordinary debt and avoid a stagnant economy are already making a mark on Australia's economy.

Michael Sainsbury — Freelance correspondent in Asia and <em>Little Red Blog</em> Editor

Michael Sainsbury

Freelance correspondent in Asia and Little Red Blog Editor

In the endless election cycle that Australian politics has become, Malcolm Turnbull is facing a greater threat to his legacy than the citizenship ruckus, Tony Abbott white-anting, and Labor's party polling strength combined: the global economy.

The threats are largely from Australia’ greatest “friends” -- trade paramour China, and joined at the hip strategic bedfellow the United States -- and therefore unmanageable from Canberra. After five years in power, China's Xi Jinping finally has the internal clout to enact reforms on China’s bloated industrial sector and to open up its financial sector as rising debt threatens to tip the economy into possible decades of stagnation.

Free Trial

You've hit members-only content.

Sign up for a FREE 21-day trial to keep reading and get the best of Crikey straight to your inbox

By starting a free trial, you agree to accept Crikey’s terms and conditions


Join the conversation

The Crikey comment section is members-only content. Please login or sign up for a FREE trial to engage in the commentary.

Share this article with a friend

Just fill out the fields below and we'll send your friend a link to this article along with a message from you.

Your details

Your friend's details