The Economy of China in the New Economic World Order

The article deals with the trends in the development of Chinese economy in the modern economic world. The geopolitical shifts in the international economic relations, environmental issues grant both risks and opportunities which influence the economic system of China.The fast-growing economy of China slowed down its pace recently, though it is still one of the world and regional economic leaders. At the end of 2022, China's GDP grew by only 3% on year-to-year basis and reached $17.95 trillion. This was affected by the situation with anti-covid restrictions and periodic lockdowns and can be explained both by the weakening of domestic economic activity in China and by the reduction in demand from the US and EU countries, where the economy was slowing down due to fighting high inflation and tightening monetary policy of central banks. It is assumed that China has almost exhausted the potential of the former economic model. The state authorities have launched an ambitious program of economic transformation: domestic demand should become its new driver. Despite the fact that economic growth may slow down, but its quality should improve.The Chinese economic model is characterized by the high role of the state, control over all spheres of society including economic system. Experts often consider this high level of control to be an advantage of the Chinese model in terms of efficiency, since it allows mobilizing human and material resources during crises and in order to achieve national goals. Another feature of Chinese economic model is introducing large-scale changes through trial and error. Thus, the reforms are carried out through experimentation in numerous pilot zones in different parts of the country, in order to choose the most successful methods and models. Imperfect or obsolete institutions are not being destroyed throughout the country at once to but are subject to gradual transformation.At the moment the Chinese economy faces the strategic task of combining two vectors: maintaining dynamic economic growth and achieving the goals of sustainable development. Degradation of natural assets became the result of extensive industrial development. Despite the proclaimed ideas of the green transformation of the economy, China still accounts for more than 30% of global emissions from fossil fuels which is more than the total emissions of the EU and the US. At the same time, China launched the renewable energy program: it is becoming the world leading supplier of wind and solar power equipment as well as one of its active consumers.Due to the changes in world economic order Chinese national currency becomes one of the world reserve currencies and is more often used in international payments. Growing trade with Russia means providing access to all kinds of resources on favorable terms which can maintain the economic development of the country and its leading role in the world economy