Xiconomics - Understanding how China’s growth model blends economics, security and ideology: A conversation with Andrew Cainey

Photo By Karlheinz Wedhorn | The Marshall Center hosted Andrew Cainey, a leading expert on China's economic and geopolitical strategies, shaped by decades of experience living, gives a presentation at the George C. Marshall Center for European Security Studies, Garmisch-Partenkirchen, Germany, March 31, 2025. Cainey, a senior associate fellow at the Royal United Services Institute and founding director of the U.K. National Committee on China, focused his presentation on China’s economic model of “dual circulation,” which targets growth through reduced dependency on foreign technology, resources and markets while shaping how the global economy operates and increasing the world’s reliance on China.  

BAYERN, GERMANY

03.31.2025

Story by Patrick Loch 

George C. Marshall Center for Security Studies

His insights offered valuable context for Marshall Center staff, who are dedicated to supporting policymakers and security professionals grappling with the growing complexities of China’s global influence.

“China has a well-articulated model of pursuing economics and security in tandem: it’s about prosperity and resilience through self-reliance while finding ways to create leverage - making others dependent on China, quietly shaping their behavior in its favor,” Cainey said.

Cainey, a senior associate fellow at the Royal United Services Institute and founding director of the U.K. National Committee on China, focused his presentation on China’s economic model of “dual circulation,” which targets growth through reduced dependency on foreign technology, resources and markets while shaping how the global economy operates and increasing the world’s reliance on China.

He explained that for China, economic and cultural security, self-reliance, and technology leadership are not just top priorities, but pillars of its national power. This approach enhances China’s ability to act independently under external pressure, while positioning technology as a core enabler of both economic and military strength.

He further expounded on China’s subnational tactics, including how it leverages trade, education, and local partnerships to assert influence and seek to shape outcomes in its favor.

It was great hearing from Cainey, whose recent RUSI report, "Subnational Diplomacy between the U.K. and China," funded by the U.K. government, offers a detailed look at the experiences of British cities and local authorities engaging with China and the approaches that they encounter, all in the context of China’s approach to subnational diplomacy around the world.

• Date Taken: 03.31.2025
• Date Posted: 04.04.2025 02:33
• Story ID: 494439
• Location: BAYERN, DE
• Hometown: GARMISCH-PARTENKIRCHEN, BAYERN, DE