China and the World Trade Organization: Requirement, Realities, and Resolution
China formally applied for the resumption of its GATT membership in July 1986. Since March 1987, negotiations between China and the GATT contracting parties have taken place under the auspices of a working party in Geneva. After the WTO entered into force in January 1995, the negotiations have focused on the terms of China's accession to the WTO.
The full participation in the GATT/WTO by a large and expanding Chinese economy will be significant for the rules-based multilateral trading system. There will be market opportunities for both China and its trading partners. At the same time, Chinese enterprises worry about the impact of increased international competition, while many WTO members are concerned about the possible surges in low-cost imports of Chinese products which may adversely affect their local industries. During the last ten years of GATT/WTO membership negotiations, China continued to implement its outward-oriented development strategy, characterized by the promotion of international trade, encouragement of foreign investment, and active participation in world economic affairs. With full participation of China in the WTO, the implementation by China of both its economic reforms and open door policies is expected to further accelerate China's transition to a market economy.
In order to examine and analyze the issues relating to China's membership in the GATT/WTO, the opportunities and challenges posed by China's participation in the world trading system, and the impact on China's economic development and trade relations, a three-year research project was jointly undertaken by the Centre for Trade Policy and Law in Ottawa and the International Trade Research Institute of the Ministry of Foreign Trade and Economic Cooperation in Beijing.
This volume reports the results of this project. The 11 chapters cover the legal, economic, and political issues behind China's GATT membership; implications of the WTO agreement on China's participation; the ramifications of GATT membership on China's agriculture, textiles, services, and other selected industries; recent reforms in China's trade and payment regimes; key policy issues relating to intellectual property rights' protection in China and trade-environment issues in the WTO which could affect China; plus lessons from other countries' experiences with GATT membership. The research papers are summarized in the introductory chapter.
This volume should help the general public to better appreciate China's economic system and trade regime, to understand the nature of China's economic reforms, and to recognize the relevance and implications of GATT/WTO membership for China and the rest of the world.
xii, pp. 289, ISBN 0-7709-0399-1, 1996, $19.95
