A former World Bank president has suggested that China might want to ease up on its stockpiling of food and fertiliser, because the rest of the world would quite like some too. David Malpass, who also served as Treasury Under Secretary for International Affairs under President Donald Trump, made the remarks to the BBC’s World Business Report on the eve of the Trump-Xi summit in Beijing.
"They have the biggest world stockpile of food stuffs and of fertiliser," Malpass said. "They can stop building their stockpiles." His comments come as nations scramble to secure fertiliser ahead of spring planting, with the closure of the Strait of Hormuz throwing a wrench into global shipments. China has halted exports of several types of fertiliser since March, citing the need to protect domestic supplies - building on restrictions steadily imposed since 2021.
Last year, China accounted for about 25% of global fertiliser output, with exports totalling more than $13bn (£9.6bn). Malpass also took aim at Beijing's claim to developing-nation status, calling it no longer credible. "They present themselves as a developing country when they're the second biggest economy in the world and in many ways rich," he said, adding that China could suspend its "pretence" at the WTO and World Bank.
The Chinese embassy in Washington DC shot back through spokesperson Liu Pengyu, stating: "China is committed to maintaining the stability of global food and fertilizer markets. The root causes behind the current disruptions in global food and fertilizer supply chains are crystal clear; this blame cannot be shifted onto China." On the developing-country label, Liu said: "China is universally recognized as the largest developing country - a designation grounded in ample factual evidence. Upholding its status as a developing country is a legitimate right of China."
On the Iran ceasefire - which Trump on Monday described as being on "massive life support" - Malpass said the world should unite behind the US and demand a resolution. "You can't have a rogue state with plutonium, and you can't block the Strait of Hormuz," he said. He expressed hope that China would help resolve the strait deadlock, noting that free shipping was in its economic interest: "China benefits from open waterways worldwide. They run the shipping lines, own the containers, and make huge profit from trade with the rest of the world. So, they would be a big loser if Iran in some way had control of the Strait of Hormuz."
Looking ahead to Tuesday's US inflation data for April, Malpass predicted prices would head higher: "I expect some up, yes, prices will go up on many products." But he added that "robust" jobs data showed the US economy was resilient. Additional reporting by Peter Hoskins in Singapore.