We’ve covered the American demographic problem here in various posts on this blog but the United States isn’t the only country with a demographic problem. According to this article, China’s population has effectively peaked in 2021.
Yi Fuxian, a demographer at the University of Wisconsin-Madison, predicts China’s population has peaked. “China’s population will start to contract in 2022, nine years earlier than the [previously] expected 2031,” Yi said.
Nikkei Asia
How will China’s demographic change impact America? For starters, an aging population has far different consumption patterns than a young one. The American agricultural industry is fully aware of the potential problem for their ag products.
“With an aging population and a declining fertility rate, China’s population pattern increasingly resembles developed countries,” he says. “China population shift and income growth will increase demand for consumer-oriented products such as meat and vegetables, dairy and wine products versus bulk and intermediate products.”
AgWeb.com
With change comes risk and opportunities, some industries will benefit from an aging population in China, Europe and the US and other industries will lose out.
If you want to know where in Asia work and industry may shift to as part of the aging demographics, look to India. India is projected to fair far better than China, Japan and other nations in the region because of its relatively young population.
It may not be a bad idea to start looking at India ETFs if you have a long time horizon to invest.
Stay tuned and stay solvent.
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