Since China holds an importance in global growth a hard landing will surely be felt by the rest of the world. Most of the world’s highly developed countries have been using China as source of materials and labour so this placed the country in a very important position in the chain. One indication that China’s economy is lagging is when its national oil company reports that the demand is decreasing due to a halt of production in many companies. Many workers have lost their jobs and thousands of them are taking to the street to protest.

Despite China’s launched of a $600bn aid this is not an assurance that it will help the economy afloat if to take a cue from governments who have given support to financial institutions and failed to remedy the worsening situation. Several reports stated that it is important to address the root problem before issuing any immediate remedy since impact of these mistakes will be felt at a later date.

Chinese officials have issued a statement that their government is making this sudden turn of change their top priority. While other developing countries might consider 6% a generous growth in their GDP, China has been enjoying more than 10% in previous years. The solution, it appears, is adopting a more long term approach of thinking than immediate solutions since the government believes that the economic turmoil is not going to shake off anytime soon.