Go East young man

In the 1860’s the American author Horace Greeley adised “Go West young man”. Today he would undoubtedly change his advice to go East.

Chinese GDP is surging on the back of consumer spending. Within the next decade China’s GDP is set to exceed US$28.3 trillion versus a forecast for the US US$27.4 trillion.

The ability of the Chinese to play the long-game has never been in more evidence.

In a single decade from 2001 up to 2010 Chinese trade with the rest of the world increased from£325 billion to £1.9 trillion.

Since 2005 China has invested £320 billion across the globe with 75% of this in developing countries.

There is an insatiable demand for raw materials to fuel the economic growth in China and commodities such as Oil, Minerals, Precious Metals and Fuel are the prizes for these investments.

The ongoing crisis in Western economies has provided ample opportunity for China to assert its economic strength and China has now usurped the US as the largest foreign investor in Germany.

Chinese companies are investing in such diverse areas as the French Wine industry or making acquisitions in the US/European Food Industry and this will undoubtedly continue as China accelerates its move into Western markets.

China says it wants to back major UK infrastructure projects and has recently signed £14bn in trade deals.

The projects the state-owned China Development Bank (CDB) wants to invest in include High Speed 2 and the next generation of nuclear power stations.

A major deal between BP and China National Offshore Oil Corporation is worth about $20bn (£11.8bn).

At the same time China has continued to extend its influence in Africa. In the latest development China has agreed to give Nigeria a $1.1bn (£700m) low-interest loan to build much-needed infrastructure.

The money will help build roads, airport terminals in four cities, and a light-rail line for Nigeria's capital.

China will continue to invest heavily in Africa at it relies on it for oil and other natural resources.

The growth of China will continue to stimulate Asian economies .Similar rapid growth is expected in India where its consumer market is predicted to overtake that of Japan by 2024.