Review and Prospects of 20 Years of Joining the World Trade Organization

On December 11, 2001, China formally joined the World Trade Organization. This was an important milestone in the process of my country’s reform and opening up and socialist modernization. Over the past 20 years, China has fully fulfilled its WTO commitments and continuously expanded its opening up, which has activated the surging spring tide of China’s development and also activated the spring water of the world economy.

The significance of China’s accession to the World Trade Organization

Joining the World Trade Organization has profoundly changed the relationship between our country and the world economic system, enabling our country to give full play to its comparative advantages, deeply participate in the international division of labor system, and rapidly develop into the world’s most important trade and investment country; providing my country’s participation in global economic governance With better conditions, my country’s international influence continues to rise; it has vigorously promoted the reform of the domestic economic system, stimulated the vitality of market players, and released the potential for economic development.

It has effectively promoted my country’s status in the global economic system. After joining the World Trade Organization, my country can enjoy the rights of a member of the World Trade Organization and better enjoy the institutional results of the liberalization and facilitation of international trade and investment. This has created a more stable, transparent and predictable international economic and trade environment for China, and domestic and foreign investors have significantly increased their confidence in China’s participation in the international division of labor and the development of foreign economic and trade cooperation. We give full play to our own advantages, deeply integrate into the world division of labor system, and continue to improve our position in the global economic system. Over the past 20 years, my country’s economic aggregate has risen from sixth to second in the world, trade in goods has risen from sixth to first in the world, and trade in services has risen from eleventh to second in the world, and the use of foreign capital has been in steady growth. China ranks first, with foreign direct investment rising from the 26th in the world to the first.

Realize the mutual promotion of reform and opening up. The process of the 15-year entry into the WTO/WTO negotiations is also the process of my country’s continuous deepening of reforms. It is precisely because of the continuous deepening of reform that we can effectively respond to the impact of market opening and transform the pressure of opening into market vitality and increasing international competitiveness. After joining the World Trade Organization, my country has fully complied with and implemented the rules of the World Trade Organization, and focused on building and improving market economy laws and regulations that comply with multilateral economic and trade rules, which stimulated the vitality of the market and society. my country has eliminated non-tariff barriers and significantly reduced tariff levels. The overall tariff level has dropped from 15.3% to 7.4%, which is lower than the 9.8% WTO commitments. The level of competition in the domestic market has greatly improved. It can be said that joining the World Trade Organization is a classic case of mutual promotion of reform and opening up in our country.

It opened a new page for my country’s participation in global economic governance. Over the past 20 years, my country has actively participated in the reform of the global economic governance system and the formulation of rules. Actively participated in the Doha round of negotiations and made important contributions to the success of the expansion negotiations of the “Trade Facilitation Agreement” and “Information Technology Agreement.” After the negotiations on accession to the World Trade Organization basically ended, my country promptly initiated regional trade arrangements. In November 2000, my country initiated the establishment of a China-ASEAN Free Trade Area. By the end of 2020, my country has signed 19 free trade agreements with 26 countries and regions. In 2013, the “One Belt One Road” initiative proposed by President Xi Jinping received positive responses from more than 170 countries and international organizations. my country has also actively participated in global economic governance platforms such as the G20, and proposed a Chinese plan for the reform of the World Trade Organization. my country is committed to promoting the construction of an open world economy at multilateral, regional and bilateral levels, and its status in the global economic governance system continues to rise.

China’s accession to the World Trade Organization has also further improved the world economic system. Without the participation of more than 1.4 billion Chinese people, the World Trade Organization would be extremely incomplete. After China joined the World Trade Organization, the coverage of multilateral economic and trade rules has been greatly expanded, and the global industrial chain supply chain has become more complete. China’s contribution to world economic growth has reached about 30% for many years. It can be seen that China’s accession to the World Trade Organization is also an important milestone in the process of economic globalization.

Experience and Enlightenment of Joining the World Trade Organization

Always adhere to the party’s strong leadership over the cause of openness, and advance with the times to improve the opening strategy. The fundamental reason why my country is able to seek advantages and avoid disadvantages in the process of economic globalization is that it has always adhered to the party’s strong leadership of the cause of opening up. In the process of WTO accession negotiations, the Party Central Committee judged the situation, made decisive decisions, overcome obstacles, and reached an agreement. After joining the World Trade Organization, under the strong leadership of the Party Central Committee, we fulfilled our promises, deepened reforms, and achieved vigorous economic and trade development. The world today is undergoing major changes unseen in a century, and the great rejuvenation of the Chinese nation is at a critical period. We must adhere to the party’s leadership, implement a more proactive opening strategy, continuously improve the level of opening up, and continue to strengthen our country’s new advantages in international economic cooperation and competition.

Practicing the concept of open development and persisting in expanding opening up unwaveringly. General Secretary Xi Jinping pointed out: “Openness brings progress, and closure will inevitably lag behind.” Since reform and opening up, especially after joining the World Trade Organization, my country has firmly grasped the period of strategic opportunities, gave full play to its comparative advantages, rapidly increased its overall national strength, and greatly increased its global influence. . Opening up is the only way for the country’s prosperity and development. The Party Central Committee with Comrade Xi Jinping at the core regards open development as an important part of the new development concept, and the position and role of openness in the cause of the party and the country has been unprecedentedly improved. On the new journey of building a modern socialist country in an all-round way, we must persist in opening up and increase the level of openness more confidently and consciously.

Firmly establish a sense of rules and insist on promoting institutional opening. After joining the World Trade Organization, my country highly respects the rules of the World Trade Organization and fully fulfills its WTO commitments. Some major powers override domestic laws over international rules, abide by international rules if they agree, and trample on them if they don’t agree. This not only undermines multilateral rules, but will eventually harm the world economy and itself. As the largest developing country and the second largest economy in the world, my country has demonstrated its responsibility as a major country, taking the lead as an observant, defender, and builder of multilateral economic and trade rules, actively participating in the reform of the global economic governance system, and contributing to China in reforming and improving international economic and trade rules. plan. At the same time, we will continue to promote institutional opening and accelerate the construction of a new system for an open economy.

Form a new pattern of opening to the outside world with a larger scope, a wider field, and a deeper level

At present, a century of change is intertwined with the epidemic of the century, the international structure is profoundly evolving, the new technological revolution is advancing by leaps and bounds, the green and low-carbon transformation is accelerating, the adjustment of global economic governance is accelerating, and the battle for rule dominance has become more intense. my country’s comparative advantages have undergone profound changes, and it is necessary to make more effective use of domestic and international innovation resources to create new advantages for participating in international cooperation and competition. Facing the new situation and new tasks, we must always adhere to the centralized and unified leadership of the Party Central Committee with Comrade Xi Jinping at the core, fully implement Xi Jinping’s thoughts on socialism with Chinese characteristics in the new era, and be good at nurturing opportunities in crises, opening new situations amidst changes, and promoting A new pattern of opening to the outside world with a larger scope, a wider field, and a deeper level will be formed.

Constantly improve the level of openness in the construction of a new development pattern. To build a new development pattern, it is necessary to simultaneously advance deepening reform and opening up, and realize mutual coordination and mutual promotion of reform and opening up. Adhere to the supply-side structural reform as the main line, and promote technological self-reliance and self-reliance. Focus on the reform of decentralization, management and service, continue to optimize the business environment, build a unified domestic market, and smooth economic cycles. Guided by high-level openness, strengthen the introduction of investment and technology and talents, integrate global innovation resources, enhance the integration of Chinese and foreign interests, break the technical containment and rule containment of China, solve the problem of “stuck neck” in the supply chain, enhance the resilience of the industrial chain, and achieve internal and external Circulation promotes each other at a higher level.

Cultivate new advantages in international cooperation and competition. Firmly grasp the strategic opportunities brought by digital transformation and green and low-carbon transformation, and accelerate the formation of new international competitive advantages for my country’s emerging industries. Empower traditional industries with information technology, transform labor-intensive industries with intelligent manufacturing, and maintain the international competitiveness of my country’s traditional export products. Expand the opening up of the service industry and vigorously develop digital service trade. Strengthen the protection of intellectual property rights and enhance the international competitiveness of capital and technology-intensive industries. Support enterprises to “go global” to integrate two markets and two resources to create a Chinese-funded multinational company with strong international competitiveness.

Build a new open economic system against high-level international economic and trade rules. Accurately grasp the trend of global economic rules, and continue to promote trade and investment liberalization and facilitation in accordance with high-level international economic and trade rules, continue to optimize the business environment, and enhance the stability, transparency and predictability of foreign economic and trade policies. Give full play to the pilot free trade zone (free trade port), actively promote high-level opening stress testing, explore a precise supervision model for the orderly cross-border flow of data, and summarize experience in a timely manner, copy and promote it. Improve the efficient and coordinated foreign investment management service system to effectively safeguard overseas interests.

Cultivate a good international economic and trade environment. Vigorously cultivate high-level international economic and trade talents, innovate international economic and trade theories and methods, and strengthen the ability to set topics, foreign negotiations, and international communication. Improve international communication capabilities and tell Chinese stories well. Actively participate in the reform of the global economic governance system, firmly maintain the authority of the multilateral system, jointly promote the reform of the World Trade Organization, and actively participate in the negotiation of new international economic and trade rules. Deepen international development cooperation, steadily promote the high-quality development of the “Belt and Road”, accelerate the implementation of the United Nations 2030 Agenda for Sustainable Development, and promote the building of a community with a shared future for mankind.

(The author Long Guoqiang is the deputy director of the Development Research Center of the State Council)
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Editor in charge: Wang Su


Post time: Dec-16-2021

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