U.S. Secretary of the Treasury Janet Yellen said on Wednesday, May 18, that China’s economic growth is likely to be affected by the epidemic policy. She adds that the U.S. is carefully monitoring Beijing’s situation and policy response.
Yellen told reporters, “Certainly the lockdowns look like they are impeding the production and flow of goods and services.”
She added, [quote] “Although some of those pressures seem to be mitigating, the developments in China exacerbate those supply-chain pressures.” [end quote]
According to Reuters, the Chinese economy’s sluggishness has been a growing source of concern for weeks.
Yellen said, “As one of the largest economies in the globe, China’s economic performance really has spillover impacts on growth all around the world.”
Furthermore, she stated that the U.S. is closely monitoring what happens in China and its policy responses.
The Chinese language media outlet Da Ji Yuan reports that the primary concern of the outside world is whether China’s draconian COVID-19 policies will be relaxed. If so, the outsiders’ question is how quickly China’s output of manufactured and industrial goods can recover.