{
  "id": 15501750,
  "title": "Robin Xing on how China’s ‘two-speed’ economy can solve contrasting problems",
  "url": "https://urgent.news/2026/10/18/robin-xing-on-how-chinas-two-speed-economy-can-solve-contrasting",
  "topic": "world",
  "section": "World",
  "published": "2026-10-18T22:00:12.000Z",
  "source": {
    "name": "South China Morning Post",
    "slug": "south-china-morning-post",
    "url": "https://www.scmp.com/economy/china-economy/article/3371109/robin-xing-how-chinas-two-speed-economy-can-solve-contrasting-problems"
  },
  "original_language": "en",
  "account": "Robin Xing, chief China economist at Morgan Stanley, has an in-depth analysis on China's \"two-speed\" or K-shaped economy and how it can potentially address various economic issues. With a PhD in economics from Peking University and previous experience at Goldman Sachs and China International Capital Corp, Xing is a respected economist in the field.\n\nIn a recent Open Questions interview, Xing delves into China's economic divergence and explains why he remains confident that the \"top half of the K\" can counteract challenges such as deflation and weak consumption. He also discusses Beijing's priorities, the \"fallacy of composition,\" and why supporting consumers is essential for sustaining and accelerating China's technological progress.\n\nThe interview, published in SCMP Plus, covers the US-China trade and economic relationship, including the two meetings between President Xi Jinping and US President Donald Trump. Xing discusses whether these meetings will lead to greater clarity and confidence in trade and investment, and the potential for managed competition in non-sensitive areas such as trade, agriculture, and other commercially viable sectors.\n\nDespite the slowdown, Beijing has introduced new policies, such as mortgage loan subsidies and rate reductions. Xing questions if these measures are sufficient and if Beijing is more tolerant of the economic slowdown while still believing in the long-term prospects. The country is undergoing a significant economic transformation, moving towards what is known as the Industrial Revolution 5.0, which will require substantial spending and capital expenditure.\n\nAccording to Xing, China is facing a two-speed, K-shaped economy with bright spots in the top half of the \"K\" in manufacturing, artificial intelligence, and emerging sectors. However, the bottom half of the \"K\" consists of an \"old economy\" facing a cyclical, painful adjustment. Beijing has increased targeted easing to cushion the downside, but the overall package remains modest and unlikely to reverse the confidence-driven household deleveraging due to weak job prospects and high local government debt.\n\nReal GDP growth is expected to remain near the lower end of the 4.5 to 5 percent target range for the year. Xing believes that the top half of the K will be stronger in the future, leading to the next industrial revolution and contributing to a substantial $12 trillion in new capital expenditure. While long-term growth challenges persist, the strong growth in the top half of the economy will play a crucial role in offsetting the drag from the weaker sectors in the short term.",
  "summary": "Robin Xing is chief China economist at Morgan Stanley. A famed economist and Peking University graduate, Xing has a PhD in economics from the Chinese Academy of Social Sciences and previously worked at Goldman Sachs and China International Capital Corp. In his second Open Questions interview, Xing dissects China’s K-shaped economic divergence and why he remains convinced that the “top half of the…",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}