China and the WTO: The Impact on China and the World Economy

Arjan Lejour ()

No 207, Trade Working Papers from East Asian Bureau of Economic Research

Abstract: This paper focuses on the impact of China’s accession to the WTO on the sectoral production within China and its main trading partners. The accession would mainly benefit other countries in South-East Asia. Within China itself the sectors Wearing Apparel and Electronic Equipment would expand, while sectors as Motor Vehicles and Lumber and Wood will loose due the abolition of the high protective barriers in these sectors. The outcomes are however affected if tariff exemptions for intermediate and investment goods are modeled. If these exemptions are not introduced, the sector Textile declines while it expands if we take account of exemptions. The reason is that a large share of these goods is used for intermediate inputs. For sectors like Leather Products and Food Processing, which’s output is often used for final consumption, the opposite result prevails.

Keywords: China; WTO; accession; sectoral production (search for similar items in EconPapers)
JEL-codes: F13 O19 D24 (search for similar items in EconPapers)
Date: Written
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Persistent link: http://EconPapers.repec.org/RePEc:eab:tradew:207

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