China’s placement of a North Korean- educated economist and an exemplar of debt-fueled infrastructure on its ruling body may add to challenges for Communist Party leader Xi Jinping as he seeks to deepen the nation’s development.
The following are remarks by Victor Shih, a political economist at Northwestern University in Evanston, Illinois, on the ouster of Bo Xilai, Communist party chief of Chongqing, one of China’s fastest-growing major urban regions.
Xi Jinping replaced Hu Jintao as head of the Chinese Communist Party and the nation’s military, ushering in the fifth generation of leaders who are set to take control of the world’s second-biggest economy.
By most measures, Zhejiang Gonow Auto Co. was one of China’s private-enterprise success stories. Established in 2003, the company produces microvans popular with farmers and sells pickup trucks as far afield as Iran and Peru.
China’s stocks fell, dragging the CSI 300 Index to the lowest level since 2009, on concern the nation’s new leadership won’t accelerate economic reforms including reducing the dominance of state-owned enterprises.
President Hu Jintao said China must double per-capita income by 2020, setting a target for the incoming generation of leaders to be unveiled at the close of a Communist Party Congress that started today.