China’s ‘involution’ trap is hurting nation’s competitiveness, state media warns


Chinese state media has refreshed its calls for local-level governments and businesses to refrain from unhealthy, exhausting competition that is feared to be damaging the competitiveness of the nation’s economy, as the issue remains a headache for Beijing.

A self-defeating cycle of excessive competition – known as neijuan, or involution – has remained prevalent, distorting market dynamics and hindering sustainable growth, the Economic Daily warned in a commentary on Wednesday, as the issue has been a focal point in the past year.

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