Taiwanese President Lai Ching-te urged Chinese President Xi Jinping to focus on Beijing’s struggling economy and improving citizens’ welfare instead of territorial expansion, as Taiwan itself projects strong growth.
President Lai stated in an interview with The New York Times that China’s economy is “really struggling.” He advised President Xi to prioritize the well-being of the Chinese people over “territorial expansion.”
The Taiwanese leader’s remarks come as Beijing continues to exert increasing military and political pressure on Taiwan, which China claims as its own territory. Taiwan’s government rejects these assertions.
President Lai highlighted a significant economic contrast, stating Taiwan’s economy is forecast to grow by 7.37% this year. He noted that international financial institutions estimate China’s growth will be only slightly above 4%.
Taiwan is “willing to help and cooperate in dealing with these economic challenges,” President Lai added, without providing further details on potential assistance.
International financial institutions, including the International Monetary Fund, World Bank, Goldman Sachs, and Standard Chartered, have forecast China’s economic growth for 2025 to be between 4.5% and 5%.
China, the world’s second-largest economy, is on track to meet its approximate 5% growth target for the current year. This performance is largely attributed to policy support and robust exports, as traders have accelerated deliveries to the United States amid concerns about potential tariff increases.
However, China’s economic imbalances have intensified this year, with factory output consistently surpassing demand. Analysts anticipate ongoing deflationary pressures into next year, despite government efforts to manage industrial overcapacity and intense price competition among companies.
Conversely, Taiwan’s statistics office reported last week that its technology-focused economy is poised for its fastest growth in 15 years. This acceleration is driven by soaring global demand for artificial intelligence technologies.