Biden says that China’s economy is a ticking time bomb, but he gets GDP growth wrong

FILE PHOTO: U.S. President Joe Biden speaks as he holds a press conference with Finland's President Sauli Niinisto in Helsinki, Finland, July 13, 2023. REUTERS/Kevin Lamarque/File Photo

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On Thursday, U.S. President Joe Biden called China a “ticking time bomb” because of its economic problems, such as slow growth, but he got the growth rate wrong.

“They are having trouble. “That’s not a good thing, because bad people do bad things when they have problems,” Biden said at a party fundraiser in Utah.

Biden said on Thursday that he didn’t want to hurt China and that he wanted to have a good relationship with the country. However, he said that he thought China’s future would be bad.

“China is a time bomb… China has problems. China was growing at a rate of 8% per year to keep rising. Now, it’s close to 2% a year,” he said.

China’s National Bureau of Statistics showed that the economy grew 4.5% in the first quarter and 6.3% in the second. However, between April and June, the GDP only grew 0.8% from the previous quarter, after growing 2.2% in the first quarter.

China’s foreign minister didn’t say anything right away.

Biden’s words reminded me of what he said about President Xi Jinping at another dinner in June, when he called him a “dictator.” China said that those comments were an insult.

These words came soon after U.S. Secretary of State Antony Blinken returned from a trip to China, where he tried to improve relations that Beijing said were at their worst since formal ties began in 1979.

On Wednesday, Biden signed an order that will stop the U.S. from investing in secret technologies like computer chips in China. China, which has the second biggest economy in the world, said it was “gravely concerned” about the order and that it was keeping its options open.

In July, China’s customer prices went into deflation, and factory-gate prices kept going down. This was different from the rest of the world, where prices went up.

The United States, which has the biggest economy in the world, has had to deal with high inflation and a strong job market.