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Impact of China's foreign trade growth on the global economy

2014-06-24

By Lu Gang, Department of Techno-Economic Research, the Development Research Center of the State Council (DRC)

Research Report No 92, 2014 (Total 4591)

Abstract:

China has moved up and has become more important in global trade over the past 30 years. Foreign trade growth increased China's economic development, at the same time, it has contributed a lot to international economic growth. China is a major market in light of demand, and supplies a tremendous amount of goods worldwide. It has also pushed supply chain development and the division of labor around the world. But, in spite of its achievements and strength, China's influence on multilateral trade is limited and it cannot show the developing countries how to build a new trade order.

Looking ahead, we can see that China will continue to encounter international trade friction but will also play a more important role in international trade. So, the country needs to engage the WTO in an active manner, encourage its enterprises to invest outside, sign free trade agreements with developed countries, and deal toughly with new trade barriers to create a more favorable environment for foreign trade and the common development of China and the rest of the world under a principle of mutual benefits and win-win results.

 

 
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