China was one of the founding members of the G20. The Group took shape during a finance ministers’ meeting in 1999 following a series of financial crises in the early 1990s.
China then rose to the leadership levels of the G20 following the American Financial crisis of 2007/2008, when it became clear that the world needed alternative economies and could not rely on just one economy.
China took hold of the G20 Presidency in 2016, with the focus on “long-term inclusive growth of the economy”.
Economic Profile
China currently has one of the largest economies in the world, with a GDP of $18.7 trillion, ranking 2nd behind the United States. This makes China one the largest trading partners for any country globally, and within the G20 members.
At the end of 2024, China’s services sector contributed a total of 56.7% to its GDP, making it its largest economic sector, by far.
In second place is the industry & manufacturing sector, which contributed 36.5%. This is not surprising, as China is one of the world’s largest exporters, with telephones, circuits, computers, and cars among its top exports.
At approximately 6.8% of the total contribution to the GDP, China’s agricultural sector is the third-largest contributor to the Chinese economy.
Unemployment in China is not a problem. It comes in at 5.2%, placing it in 13th position worldwide. However, it is worth noting that China has a population of 1.4 billion people – the second largest in the world after India. As a result, 5.2% constitutes a fair number of unemployed people.
China in the G20
China emerged as a significant figure among the members of the G20 following the 2007/2008 financial crisis, as it became clear that alternative markets were necessary to stabilize the global economy.
China had been rapidly growing its economy since the financial reform began around 1978.
At the time of the crisis, China had emerged as a global player, offering the world an alternative to the US market.
As its voice became increasingly prominent, China began to criticise the so-called ‘West’ and its financial architecture.
The country advocated for a more inclusive economy. It also reached out to a large number of African countries, including South Africa.
When China held the G20 presidency in 2016, its focus was “long-term inclusive growth of the global economy”. They also introduced the Digital Economy as an agenda.
The work that the G20 is doing on sustainable development was pioneered under China’s 2016 presidency when the G20 Leaders adopted the “G20 Action Plan on 2030 Agenda for Sustainable Development”.
Who will attend:
China will be represented by President Xi Jinping, who is the leader of the Communist Party of China. President Xi Jinping has been in office for about 12 years since 2013.
Fun Facts about China:
China holds the bragging rights for the largest High-Speed Rail network, which is a total of 48,000 km and a part of the 162,000 km network of China’s overall railway network
- China holds one of the 7 wonders of the world – the Great Wall of China, which is a total of 21,196 km
- China has the world’s largest hydro plant, the “Three Gorges Dam”, which has a confirmed installed capacity of about 22.5 GW
- China spans multiple geographical time zones, but uses one time zone i.e., China Standard Time (UTC+8). In comparison, the US, which is comparable in geographical size, has 4 time zones
- China has the world’s largest internet user base, which is over 1 billion people.