The US “Wall Street Journal” article on June 29, original title: China is updating the “equation” to get rid of the economic downturn. Author James Eredi. The article pointed out that Beijing is using different methods to stimulate the economy, turning to “new infrastructure”, including the construction of new public works projects, data centers and space stations. Author James Eredi. The main content of the article is as follows:
In the past, whenever China faced economic challenges, it tended to invest heavily in building infrastructure. Today, China is lined with skyscrapers, dams, roads and airports, and in response to new economic problems, China is turning to new types of infrastructure.
The Huangjuewan Overpass in Chongqing.
This time, China was challenged by an economic slowdown, and instead of summoning construction workers in hard hats, the government drew up a blueprint for connecting databases, coordinating traffic flows and living spaces. Right now, China is expanding the concept of infrastructure.
Infrastructure was a top priority in China’s massive stimulus package in response to the 2008 turmoil in the global financial system, as a credible emergency measure. In addition to avoiding recession, massive investment in infrastructure has elevated China to the world’s second largest economy, built the world’s longest railway and highway network, built rail transit in more than 50 cities, and ultimately made China the world’s second-largest economy. A global leader in ports, dams and 5G mobile communications.
This is a feat of national planning. But facing some of the deepest economic challenges of our time, China’s needs today are different from those of the past. Since it has become a middle-income country, it doesn’t make much sense for China to continue to build as much as before. If speed was important to China in the past, demand is probably the most important consideration today. Of the 33 “economic stabilization” measures announced by the Chinese government in May, only one involved infrastructure construction.
China’s leaders have called for an overall strengthening of infrastructure, but the focus is on promoting major “technical” infrastructure layouts to improve the quality of economic growth, such as promoting urban agglomeration transport integration rather than launching new projects, and services such as new space stations being built projects in the interests of national security.
China’s new infrastructure construction includes seven major areas.
Some of China’s most ambitious traditional infrastructure projects have prompted the approval of a big data project this year. The project will become a new type of infrastructure similar to the “South-to-North Water Diversion” or “West-East Gas Transmission”. Data from the technologically advanced eastern region will be crisscrossed across China before being fed to servers in the western region, where cheap hydro and wind power is available.
Proponents say the high-speed data system built by the Chinese government will not only boost China’s demand for fiber-optic technology, computer servers, software, engineers and some infrastructure, but will also boost China’s data processor market, just as China’s The highway has transformed the bicycle nation into the world’s largest car market within a generation.
He Yifan, operator of the Beijing-based software project Blockchain Service Network, said the central government does see the digital economy as the main driver for the next 10 years. Its company is negotiating to join the computing resource allocation project known as “East Digital and Western Calculation”.
