US crisis to hit China: Wen

Expressing concern over the financial crisis in the United States, Chinese Premier Wen Jiabo has said that the recession in the US market will definitely have an impact on the communist country.

8220;Ten years ago, China-US trade stood at only USD 102.6 billion. Today, the figure has soared to USD 302 billion, a 1.5 fold increase. 8220;8230;a shrinking US demand would certainly have an impact on China8217;s exports. And US finance is closely connected with Chinese finance. If anything goes wrong with US financial sector, we would be anxious about security of Chinese capital,8221; Wen told 8216;NewsWeek8217;.

He also expressed concern about the possibility of a US economic recession and noted how closely the US markets were connected with China8217;s financial system.

8220;We have seen a decline in external demand and China8217;s domestic demand cannot be significantly increased in a short period of time.

8220;We must read just macroeconomic policy. A recession in the United States would certainly have an impact on China8217;s economy,8221; Wen said.