Impact of China's WTO Accession on East Asia

Elena Ianchovichina · Terrie Walmsley

92 citations0/0 files storedContemporary Economic Policy

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Global trade and economics Asian Industrial and Economic Development Globalization, Economics, and Policies

Abstract

The industrialized and newly industrializing economies (NIEs) in East Asia will benefit from China's WTO accession, and the developing economies in the region may incur small welfare losses. China will increase its demand for high-end manufacturing products from Japan and the NIEs and farm products, natural resources, and manufactured goods from developing East Asia. New foreign investment may flow into these expanding sectors. The overall impact on foreign investment is likely to be positive in the NIEs but negative in developing East Asia. The NIEs may face heightened competition in global markets as China's comparative advantage shifts into high-end products. (JEL F11, F13, F15)

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References

2002Global trade, assistance, and production : The GTAP 5 Data Base 1997Global Trade Analysis: Modeling and Applications 2003World investment report 2001: Promoting linkages 2003Major Trade Trends in East Asia: What are their Implications for Regional Cooperation and Growth?2001Dynamic Effects of the "New Age" Free Trade Agreement between Japan and Singapore 2001Trade Liberalization in China's Accession to WTO 2004Economic Impacts of China’s Accession to the WTO 2004Impacts of China's Accession to the World Trade Organization

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