9. How has China's accession to the WTO affected its neighbors?
China's accession to the WTO has had a significant impact on China's relations with other nations in Asia. Many Asian economies are presently experiencing recessions and they are looking to see growth in exports to revive their economies. China represents both a competitive challenge to such goals and an opportunity to gain from its strong economic performance. Although China's share of global exports has risen over the past several years and the exports of neighboring countries has stagnated, China's WTO accession can translate into improved growth in the gross domestic product for countries with high value exports. Some bank reports indicate that China's accession to the WTO will give Taiwan's economy a boost equivalent to 1.7% of Taiwan's 2000 gross national product by 2005. Other countries in Asia are projected to benefit by 1.1% of their 2000 gross national product as China's demand for their exports increases.
For some Southeast Asian countries, the prospects are not so good as some banks predict that Southeast Asian economies will lose between the equivalent of 0.1% and 0.2% of their 2000 gross national product by 2005.
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Last updated on August 27, 2005
