Has 75-Year-Old Veteran Zhang Youxia Seized the Chinese Military? Is Xi Jinping Really a 'Puppet'? / Will China's Resurgent Real Estate Crisis Spread into a Financial Crisis? | Jeon Byeong-seo, Director of the China Economic and Financial Research Institute

Summary

Jeon Byeong-seo, director of the China Economic and Financial Research Institute, tells host Park Geun-hyeong that Xi Jinping remains firmly in control of the military and that Zhang Youxia is not a coup or succession threat. He argues China's property, local-debt, and youth-unemployment crises are overstated, expects Beijing to support real estate and equities to revive domestic demand, and highlights service consumption, AI chip/semiconductor listings, and platform deregulation. On Korea, he expects semiconductor exports to swing the China trade balance to surplus and sees K-beauty and Korean consumer brands using Chinese online platforms as a strategic opportunity.

• Jeon dismisses claims that Xi Jinping has lost control of the military or that Zhang Youxia is a successor threat.
• He says China's property crisis narrative is exaggerated and sees the market bottoming as inventory falls and government purchases unsold homes.
• He argues local-government debt and youth unemployment are not systemic crises because of China's central-government structure and family support.
• He expects Beijing to support both property and the stock market to create a wealth effect and revive consumption.
• He identifies service consumption, Chinese AI chip/semiconductor listings, and platform/internet deregulation as potential market themes.
• He expects Korean semiconductor exports to turn Korea's China trade deficit into a surplus in 2025, though it is a special cyclical support.
• He says Korean cosmetics/K-beauty can recover in China through online platforms if brand quality and platform strategy improve.