No single nation can match China’s dominance of global commodity demand, as seen in the chart below from Macquarie Bank.
For many major commodities, China’s share far exceeds its contribution to global GDP, particularly for bulk and base commodities, reflecting the continued urbanisation of the Chinese economy as well as still being the proverbial “factory to the world”.
While the gap between its share of commodity demand to its relative contribution is wide, as the economy continues to shift towards consumption rather than industrial and construction-led growth, the gap between the two will almost certainly narrow in the decades ahead as the Chinese economy gets larger while commodity demand improves in other developing nations that are urbanising.
Business Insider Emails & Alerts
Site highlights each day to your inbox.