How does the world benefit from Chinese accession to WTO?

Moore, the ex-Director-General of the World Trade Organization during the years between 1999 and 2002, when accepted an interview with Chinese reporters in December 2011, said that China’s development in the past 15 years and over the past 25 years is a great story in human history. The story is great because many countries in the world have shared the fruits of China’s rapid economic growth.

First, the world has shared bonus from China’s economic growth.

This is reflected by the following several points: first, in increments of world economic development, China plays an important role. China’s contribution to the growth rate in world GDP growth has increased from 4.6% in 2003 to 14.5% in 2009 or it can even be said that world economic growth has been primarily driven by China. The second, during the years between 2000 and 2009, average annual growth rate of China’s exports and imports was 17% and 15% respectively, much higher than the 3% of the average annual growth rate of world trade flow. This indicated that the main driving force for world trade growth also came from China. It is precisely because of the effective supply of Chinese goods that every year there were billions of dollars in cost savings for the United States consumers and businesses. Third, in 2009 in the context that the goods imports of the world trade fell by 12.8%, Chinese imports has increased by 2.9%, and China has become the only one of the world’s major economies to maintain growth of the country. From the above points, we can see that it is China that boosts the confidence of the people, which has played a key role in overcoming the world financial crisis and promoting the economic recovery.

Second, the world had shared Chinese market dividend.

Since 2001, total imports of Chinese goods expanded by about 5 times, with an average annual growth of about 20%. It has not only become the largest export markets of countries such as Australia, the EU’s second largest export market, the United States’ third largest export market, but also benefited Asian countries and regions greatly. In 2010 alone, goods trade deficit between China and Asian countries and regions such as Japan, Korea, ASEAN and China’s Taiwan region amounted to $ 227.6 billion. In addition to the commodities market, the world also profited from China’s opening up services markets in the world. China provides a wide range of market access opportunities for Foreign Service providers including the financial services, telecommunications, construction, distribution, logistics, tourism, education, etc. Among the 160 sub-sectors in the trade classification of The World Trade Organization, China has opened up to 100 sectors, and the  open range is close to average in the developed countries. According to a survey of salary conducted in November 2011 by the global Association of executive search consultants on 100 business people with a salary higher than $ 150,000, China is the county with the world’s 4th…

Read the full article from the Source…

Back to Top