Dominic Barton, chairman of leading global mining group Rio Tinto, warned against severing economic ties with China, saying it could lead to higher prices and slower development of new products and technologies, during an interview.
This comes as the White House announced on Tuesday new tariffs on imports of electric vehicles, solar cells and other clean-energy products from China, in a protectionist move widely believed to imperil the American ambition to enhance competitiveness and slash carbon emissions.
Many businesspersons are concerned that this newly announced tariff hike could damage global supply chains and lead to further decoupling of the U.S. from China.
During an interview with China Global Television Network (CGTN), Barton voiced his opposition to decoupling, calling it an impractical approach.
"I think there's some legitimate reasons for resilience in supply chains, and we learned that from COVID in a way, too. Everyone, every country wants to make sure they have some resiliency. But we also need to remember that the foundations of a lot of the growth we've had in the global economy and bringing hundreds of millions of people out of poverty, is because we've had global supply chains. So this idea that we're going to decouple is just ridiculous in my view. It's ridiculous and it'll have very severe consequences. We have to be very careful of that and how we think about that balance," he said.
Barton emphasized the importance of global collaboration for efficient and affordable production, especially in the shift toward sustainable energy and technologies.
"I think the challenge is we don't have a deep enough understanding, the common person like myself, of how supply chains work. We are incredibly linked in what we do. One of the consequences of a less global supply chain is higher inflation. It's just a fact. And higher inflation is not good for anyone," he said.
"Second thing is innovation. If we're going to make this energy transition, we need the materials. We also need to produce the equipment, the technology to be able to do the transition. The solar panels, the electric vehicles, the batteries, and it's in everyone's interest that we have the most efficient, low-cost way of doing it. And so these are factors that we need to make sure we keep in mind in a more politicized environment, because there are real consequences to changing that," Barton added.
Decoupling with China carries risk of major disruptions: Rio Tinto chairman
Known primarily for its coal production, the city of Taiyuan in Shanxi Province is undergoing a cultural transformation. As part of China's booming concert economy, Taiyuan is actively seeking to provide unforgettable experiences for music fans.
Local authorities are supporting businesses in capitalizing on the growing demand for immersive concert experiences.
Taiyuan has implemented innovative initiatives. The city offers free public transportation for concert attendees, including bus and subway rides, both during the concert period and for three days before and after the event .
Taiyuan's commitment to creating a vibrant concert atmosphere is evident throughout the city. Giant banners and posters promote upcoming events, while various support activities further enhance the experience.
At a recent concert, a CGTN correspondent witnessed the city's dedication to providing a memorable experience. Each fan was greeted with a personalized souvenir bag filled with local specialties. Additionally, a captivating drone performance delighted the audience, adding an extra layer of excitement to the event.
"We have both also been to several concerts before. But this is the first time we've enjoyed various perks. Some shops are offering free merchandise. There are shuttle buses. The concert ticket also provides free admission to other local attractions. I think it is really nice," a concertgoer said.
"I have attended several concerts in Taiyuan where I have had really great experiences," another concert fan said.
Taiyuan's thoughtful initiatives have not only delighted concertgoers but also stimulated the city's consumer activity.
"From April to September, Taiyuan hosted more than 10 concerts. We could feel the enthusiasm of the fans at each event. There was a noticeable increase in hotel bookings as well," said Ma Shuting, marketing manager of a local hotel.
The concert period has also boosted the street-stall economy. The area around the venue has been transformed into a vibrant marketplace, with hundreds of stalls offering a diverse range of goods and services, from snacks and concert merchandise to beauty treatments.
"Business is doing quite well because there are many people coming from both out of town and locally. The daily revenue is approximately between 2,000 and 3,000 yuan (about 282 to 423 U.S. dollars)," a vendor told CGTN.
To solidify its position as a leading performing arts center in Northern China, the local government has made a significant commitment to fostering the concert economy.
"All 11 government departments in Taiyuan have jointly introduced several measures to support the development of the concert economy. For concert organizers in Taiyuan that meet the criteria, subsidies ranging from 150,000 yuan to 800,000 yuan (about 21,200 to 113,000 U.S. dollars) will be provided. Additionally, the city government has also established a special task force to ensure the smooth running of large-scale concerts," said Liu Rui, deputy director of the Taiyuan Bureau of Culture and Tourism.
The concert economy holds immense potential for economic growth, as demonstrated by the impact of Taylor Swift and Coldplay concerts on Singapore's GDP, which was boosted by around 0.25 percent.
Taiyuan is positioning itself as a major player in the concert industry, with over 30 concerts scheduled for this year alone. These events are expected to attract nearly 800,000 fans and generate tens of billions of yuan in consumer spending.
The city's commitment to the concert economy reflects its proactive pursuit of new growth drivers. This not only boosts consumption in the culture and tourism sector but also contributes to the broader economic transition toward high-quality growth.
Taiyuan's thriving concert economy boosts cultural, tourism growth
