Abstract

This article examines the strategic shift in China’s economic focus from an export-oriented model to one prioritizing domestic demand. This transformation is driven by both external and internal factors, including trade tensions, rising protectionism, demographic changes, and the need for sustainable growth. The study explores key industries affected by this transition, such as technology, automotive, and agriculture, and assesses their adaptation to the new economic strategy. By analyzing macroeconomic indicators, industrial realignment, and investment trends in research and development (RandD), the article highlights how China is reducing its dependency on exports while fostering technological self-reliance and innovation. The findings suggest that the shift toward domestic demand has significant implications for global trade and supply chains, compelling businesses, and countries to re-evaluate their trade strategies. However, the transition also poses challenges, such as managing overcapacity and addressing regional disparities. Ultimately, this strategic reorientation positions China for long-term stability and growth, while redefining its role in the global economic landscape. Understanding these dynamics is crucial for policymakers and businesses to navigate the evolving global economy effectively.