Guys, have you heard lately that Chinese mainland's strategic reserve moves are really dazzling. Oil, coal, natural gas, gold, these resources are all increasing.
As soon as this happened, all kinds of speculations flew in the sky, some said that this was to deal with a possible conflict, and some said that it was for the needs of economic development. So, what is the mystery behind this?
Let's start with some hard goods and let you feel it. In the first two months of this year, Chinese mainland imported more than 88 million tons of crude oil and 22 million tons of natural gas, which is not a small amount.
Moreover, the People's Bank of China bought an additional 27 tons of gold in the first three months of 2023, and this increase in gold reserves has accumulated more than 310 tons since November 2022. Doesn't that sound a bit dizzying, but the meaning behind it is a lot.
First of all, we have to understand that the strategic reserve thing, for a country, is like a "just in case" storage room for a big family. It is not only for war, but also for various contingencies, such as natural disasters, market fluctuations, and so on.
It's like, there's a power outage in your house and you have candles, or the weather forecast says there's a storm and you've stocked up on snacks and drinks ahead of time.
Moreover, China is the world's second-largest economy, with a very large market and rich and diverse demand.
Isn't it normal for China to increase the import of resources and raw materials? Just like a family, as the number of family members increases and the standard of living improves, it naturally needs more rice, flour, oil, and salt.
However, there are always some people who like to look at China with "colored glasses". They interpret every move of China as a preparation to confront Western countries.
For example, Chinese mainland's increase in strategic reserves has been interpreted by some as "war preparations." This view is not only lacking in factual basis, but also full of prejudice and Cold War mentality.
But don't worry, let's think about it with some common sense. China's national reserve system is actually a diversified system.
It includes central and local reserves, physical reserves and production capacity reserves, government reserves and enterprise reserves. This multi-level and diversified reserve system can better cope with various risks and challenges.
For example, the central government's reserves focus on important materials that have a bearing on the overall situation and the national economy and people's livelihood, mainly to prevent and resolve overall, systemic and cross-regional supply risks.
Local government reserves, on the other hand, pay more attention to the actual needs of the region and can quickly respond to emergencies in the region.
Let's take a look at the U.S. national reserves. As the world's largest economy, the United States has a well-established national reserve system.
With a whopping 714 million barrels, the U.S. Strategic Petroleum Reserve is the largest in the world. In addition, the United States has a large reserve of agricultural products, metal reserves, etc.
This contrast can actually give us some enlightenment. The amount of national reserves cannot simply be equated with "war preparations". It is more of a reflection of a country's economic development level and risk management capabilities.
For example, during the 2008 global financial crisis, China's national reserves played an important role. At that time, the Chinese government stabilized the market and prevented excessive economic volatility by increasing national reserves.
For example, during the 2020 pandemic, China's national reserves also played an important role in ensuring the supply of medical supplies and stabilizing market prices.
So, guys, the next time you hear someone use the "China threat theory" to interpret a certain move in China, you might as well calm down first, use some common sense and logic, and analyze the truth of the matter. After all, peace and development are the mainstream of this era.