Low-gear trade growth

THE OFFICIAL RECOGNITION THAT CHINA MAY miss its target for trade growth this year is crucial to a correct understanding of the new role that foreign trade will play in China's economic transformation.

As a turbocharged growth engine that expanded by 15.9 percent annually between 1978 and 2013, China's trade sector contributed tremendously to the country's surge to be the world's second-largest economy and biggest trade power.

Yet, as domestic labor costs rise and global demand has weakened in recent years, it has become more than obvious that trade growth will play a less important role in boosting economic growth as China strives to release the huge potential of its 1.3 billion consumers.