Debunking China Myths: What has China contributed to the WTO since its accession?

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07:01

It has only been 17 years since China's World Trade Organization (WTO) accession, and the country is now the world's largest trading nation. China has been sharing development dividends and its growing market with the rest of the world over the years.

01:38

How has China honored its commitments to the WTO?

China has been consistent in honoring its commitments to open up more of its economy – the country not only talks the talk, but also walks the walk in fulfilling all of its tariff reduction promises.

According to the Ministry of Commerce, China's overall weighted average tariff rate is currently standing at 4.4 percent, very close to the level of developed economies.

China has not only fulfilled its commitments to the WTO, the country has even done better than expected, according to Professor Zhang Yuejiao from Tsinghua University, who is also a former chair of the Appellate Body of the WTO.

China cut the average tariff rate of agricultural products from over 23 percent in 2001 to around 15 percent in 2010, which is far lower than other WTO members with developing countries holding that rate at 56 percent and developed ones at around 40 percent. Meanwhile, China has lowered the average tariff rate of manufactured goods to nine percent, down from 15 percent in 2001.

Another case in point is auto industry. Before the WTO accession, China's auto sector lagged far behind its overseas competitors in terms of product quality and production scale. However, by mid-2006 when the transitional period ended, China slashed three-quarters of customs duties on imported cars.

“The speed of tariffs [reduction] is very fast. We should appreciate it, as it’s beneficial for customers, as well as producers,” Zhang commented.

Moreover, Dr. Alex Marx, Deputy Director of the Leuven Center for Global Governance Studies at KU Leuven, expects to see more sectors in China open up, such as technology and healthcare.

08:52

How has China's role in the WTO developed since joining the WTO in 2001?

China has reiterated the importance of safeguarding the WTO dispute settlement mechanism in "China and the World Trade Organization" white paper. Marx spoke highly of the white paper, as it detailed the country’s achievements as well as helped explore some misconceptions about China.

As one of the significant members of WTO, the country has also actively participated in the negotiations and supported the independence and impartiality of the WTO Appellate Body.

“I heard that people [working in the WTO Appellate Body] very much appreciated China’s effort. And China also provided technical cooperation and training for other developing countries,” Zhang told CGTN.

China says it will continue to properly handle trade disputes with other WTO members. It is also pledging full participation in trade policy reviews and urging all WTO members to abide by multilateral trade agreements.