Abstract
Multilateral trading system and China proves to be the main driving force in the economic growth of the country. Very effectively and efficiently the country became a member of WTO. It adopted all those policies, which assured its presence in the global arena.Growth in Chinese economy may be attributed to the fact that the country was economically engaged over the years, it manifested growth. China enrolled with the WTO or World Trade Organization in the year 2001. Since then, China has witnessed increased growth in foreign direct investment and foreign trading activities, which eventually led to its growth of economy.
Statistics proving export as well as import activities in China:
It was found that during the period 2001 and 2005, the dollar value of export activities as well as import activities in China registered an increase of 29.3% as well as 25.3% respectively. These were increased on a yearly basis. The origin of 58% of export activities in China were owing to foreign owned companies. Due to this type of performance in trade, share of China's imports in the global arena increased to 5.9% from 3.3% in the year 2004. As far as share of China's exports in the international market were concerned, it increased to 6.5% from 3.9% in the year 2004.Export and import activities:
China is regarded as a very prominent participant in the international trade arena. China is well known for exporting components and manufactured goods, which require labor-intensive activities. On the other hand, the country is well known for importing primary commodities, capital goods and semi-finished parts. As far as foreign direct investment is concerned, China is regarded as a major recipient of the same.Multilateral trading system and China's economy is anticipated to impact the international trading system in a positive manner. The policies adopted by the country are also likely to impact the world economy in a positive manner.
China's entry into World Trade Organization:
China entered WTO in the year 2001. Thereafter, the country made valuable contributions to the activities of WTO. So that it could meet the requirements to access the WTO, China implemented various policies internally in the country. It also liberalized the Chinese national economy, which confirmed its switching over to the market economy. In addition to the above efforts to be a member of the WTO, China embraced "multi-track trade policy strategy".In the year 2005, the following 4 FTAs or Free Trade Agreements were signed by China with these countries.
