Premium Essay

China and Us Wto Agreement

In: Other Topics

Submitted By slimyeso
Words 2099
Pages 9
SUMMARY OF U.S.-CHINA BILATERAL WTO AGREEMENT

AGRICULTURE

The Agreement would eliminate barriers and increase access for U.S. exports across a broad range of commodities. Commitments include:

Significant cuts in tariffs that will be completed by January 2004. Overall average for agricultural products will be 17.5 percent and for U.S. priority products 14 percent (down from 31 percent).

Establishment of a tariff-rate quota system for imports of bulk commodities, e.g., wheat, corn, cotton, barley, and rice, that provides a share of the TRQ for private traders. Specific rules on how the TRQ will operate and increased transparency in the process will help ensure that imports occur. Significant and growing quota quantities subject to tariffs that average between 1-3 percent.

Immediate elimination of the tariff-rate quota system for barley, peanut oil, sunflower-seed oil, cottonseed oil, and a phase-out for soybean oil.

The right to import and distribute products without going through a state-trading enterprise or middleman.

Elimination of export subsidies on agricultural products.

China has also agreed to the elimination of SPS barriers that are not based on scientific evidence.

INDUSTRIAL PRODUCTS

China would lower tariffs and eliminate broad systemic barriers to U.S. exports, such as limits on who can import goods and distribute them in China, as well as barriers such as quotas and licenses on U.S. products.

TARIFFS

Tariffs cut from an average of 24.6 percent to an average of 9.4 percent overall and 7.1 percent on U.S. priority products.

China will participate in the Information Technology Agreement (ITA) and eliminate all tariffs on products such as computers, telecommunications equipment, semiconductors, computer equipment, and other high-technology products.

In the auto sector, China will cut tariffs from the current 80-100% level to 25% by…...

Similar Documents

Premium Essay

Us China

...contradicts with its Confucian principles and therefore is not reflected in its observed conduct of politics, with emphasis on its bilateral relation with the US. In the second part of the essay, I will interpret the ‘peaceful rise’ of China from another perspective: that China has not achieved the capacity to go revisionist, something it is wisely well aware of. MILITARY To begin with, China’s growing defence expenditure (increased to $91.5bn in 2011) often serves as evidence for revisionist suspicions. In particular, China has recently shown determination to adopt a more ambitious maritime policy by building its first aircraft carrier, which it intends to use as the pillar of its navy power projection. The Asian power has invested, albeit not much until recently, to modernise its maritime access-denial instruments, having purchased at least 4 destroyers and 12 kilo-class submarines from Russia while producing its own Song-class submarines. This reinforcement, as Ross explained, would substantially affect the operations of US fleets in the Western Pacific Ocean. Similarly, China has also made efforts to strengthen its mine-warfare and air capabilities, by purchasing and upgrading explosive devices and jet fighters. Nonetheless, this rather reflects the fusion of geopolitik and nationalism that is taking place in China, which does not automatically equate revisionist intentions. As advocated by Yong, even for a peace-time country that prioritises economic growth;......

Words: 3606 - Pages: 15

Premium Essay

China and Us Complex Relationship

...Introduction The US and China have always been involved with one another; they have a very complicated history, the two function very differently in areas of politics, economics, and social issues. These disparities have hindered the way both countries conduct business with each other, particularly in the area of international trade. Like any international trading relationship government policies affect the way business is conducted. For example, piracy is very common in China; piracy is the unauthorized use or reproduction of copyrighted or patented material. In some cases a government can affect international trade flows by its lacks of restrictions on piracy. In the case with the relationship between the US and China some may argue that piracy is a major contributor to the uneven nature of financial flows and trade between the United States and China. The US has a large trade deficit with China, but there is little legislation between the US and China forcing China’s government to officially address the issue of piracy in their country. The Trade Relationship between China and the United States The trading relationship between China and the US dates as far back as 1784 when the empress of China decided to open trade between the US and China. At that time the US had very few possessions to offer; however several hundred years later after several wars, changes in leadership, economic needs, and industrial revolutions a more in-depth trading relationship evolved. While......

Words: 473 - Pages: 2

Free Essay

Us China Relationship

...GNlu | US-CHINA RELATIONS | SUBMITTED TO:Dr.Aruna Kumar Malik | | SUBMITTED BY :ABHISHEK CHATTERJEE | REG NO :11A006 INDEX Introduction Pg 2 US China Comparison Pg 3 Brief History Of US-China Relations Pg 5 Conclusion Pg 21 INTRODUCTION Since the dawn of civilization there have been great nations, 5000 years back the Mesopotamian,Egyptian and Indus Valley Civilization were the super-powers,if not the only advanced civilization of their time,2000 years back we had the roman empire and the chineese,500 years back the mughal empire,the ottoman empire etc. The world order keeps on changing, the end of the first world war saw the rise of America along the ranks of other European superpowers like the British Empire,France and Germany and saw the fall of 2 superpowers,the ottoman and the Austria-hungry empire. The second world war ushered the modern world into a new world order. The United Nations was born and its membership suddenly grew. The United States brought about reconstruction of the war torn economies of Europe and Japan and ensured stable democracies for her new......

Words: 8393 - Pages: 34

Premium Essay

Wto Agreement on Agriculture Incentives

...he would block a proposed World Trade Organization (WTO) agreement on agriculture that would reduce European production incentives: In a world where there are 800m poor people who cannot satisfy their hunger and where a kid dies every 30 seconds from hunger, I will never accept a reduction in agricultural production on the altar of global liberalism. President Sarkozy is happy to have French farmers feed poor, hungry people in developing countries, but not happy to have those people improve their livelihoods by competing with French farmers on a level playing field. According to the OECD, between a quarter and a third of European Union farm receipts in recent years are the result of government subsidies and price support programs. Until the recent price spikes, one effect of the generous farm subsidies provided by Europe, the United States, Japan and other rich countries was to push down world prices, thereby depressing the incomes of farmers in countries that could not afford such largesse and reducing incentives for farmers in those countries to produce more domestically. France has been one of the strongest advocates of retaining these trade-distorting policies. With elections in the United States this fall and in India next year, the barely alive Doha Round of international trade negotiations is facing a long hiatus or even failure if ministers cannot achieve a breakthrough in meetings later this month at the WTO. Success in these negotiations would not have any......

Words: 583 - Pages: 3

Premium Essay

Us China Economy

...solar systems, and employees with vested shares would benefit from an attractive selling price.  * With mutual agreement between the companies, the strategies and core concepts of Namaste solar can be maintained and continued. Disadvantages * The company’s original vision and mission will be altered. This would cause them to lose their originality. * This could also create a bad reputation among few employees who were attracted by the company’s original vision and mission. * The company’s restricted stock plan will be altered. Originally no single shareholder owned more than 50 % of equity. In fact most of the co owners owned only between 1 to 3 percent of the company. * There could be deviation from the company’s original concept of “holistic wealth” RECOMMENDATIONS I would recommend the company to choose path C, i.e. not to sell the company and leave Namaste Solar as a privately-held 100% employee-owned firm * Already the company is traveling in the right path by having a rapid growth in installations and in revenue. It has been profitable every year with revenue growth of more than 2250 percent. It also had good sales through customer referrals and repeat customers. * The company also is proud of its zero-waste initiatives and green business practices. Both of its offices in Boulder and Denver are LEED-certified. This could attract the US government and make them grant some fund and subsidiary for the company. Solar advocates also point out......

Words: 1359 - Pages: 6

Premium Essay

China and Wto

...The University of Nottingham, Ningbo, China Division of International Business China and the World Trade Organization P13608 Module Outline Module Convenor: Dr Chieh Huang AB Room 379 chieh.huang@nottingham.edu.cn Office hours: Monday 10:30-12:30 10 credits TB329 Tuesday 2-4 PM 10 weekly two-hour lecture/seminars The course is taught by way of lecture/seminars which are two hours in length. The form of the lecture/seminars will be flexible, depending on the topic under consideration. Students are expected to participate fully in discussions in lecture/seminars and to have read all the set Essential Reading before class. Credits: Lecture Venue and Times Method of Delivery & Frequency on Class: Method and Criteria of Assessment: 100% Coursework (5000 words) Essay Submission Deadline is 4pm, Wednesday 27 November 2013 Topics: Please choose one area listed below and discuss its recent development in the context of China. You will need to narrow down your focus and set your own essay topic. 1. 2. 3. 4. 5. Non-market Economies in the WTO Energy Industry and the WTO Environment and the WTO Commentary on one WTO case involving China Self-selected topic upon approval (You are most welcome to decide a topic yourself. Once you decide to do so, however, you need to submit your topic and an one-paragraph abstract before 4pm 31 October. ) Module Aims: To give the students a broad knowledge of the multilateral trading system and China’s interaction with that system......

Words: 3456 - Pages: 14

Premium Essay

China-Us Canada Relationship

...PART-I US-Canada: Since many years, US-Canada trade has been the cornerstone for Canada’s economic development. Canada began its trade with the US in 1920s when rapid urbanization in the US led to huge demand in wood and other forestry products. In the 1920s and 1930s, pulp production increased steadily with over 90% of the produce being exported to the US. In 1925, the opening of the Panama Canal increased the exports of lumber from British Columbia to eastern U.S. markets, which dramatically increased the netbacks received for lumber produced in British Columbia (Statistics, Canada, 2012). Post world war, rapid expansion in the US industrial capacity was accompanied with rapid growth in the Canadian economy as well. Growth in the demand for newspapers led to the growth of pulp and paper industry. By1950, over half of the world’s newsprint was supplied by Canada. By 1954, pulp and paper exports accounted for 24% of Canada’s total exports, of which, 33% of those exports were to the United States (Statistics, Canada, 2012). Post 1960, the new staple in the resource landscape for Canada was Energy. Until this time, though some local sources were available on the Prairies and in Nova Scotia, Canada had relied on coal imports. In 1957, there was a major oil discovery in Alberta at Leduc, which lead to a major and dramatic expansion of crude oil and natural gas industry, the effects of which are still evident till date. The North American Free Trade Agreement (NAFTA) removed......

Words: 7332 - Pages: 30

Premium Essay

China Trade Before and After Wto

...Change in China trade policy before and after WTO 1. Different aspects of china WTO accessions 1.1.Trade in goods One of the major parts of WTO accessions the changes in the trade of good policy which is mainly divided into two major components which are the reduction of tariffs and the elimination of the quotas. Due to WTO accessions china is obliged to reduce or eliminate all tariffs on imported goods mostly by 2004 with special condition in industrial material which tariffs reduced to an average of 9 percent and tariffs on agricultural goods will be lowered to an average of 15 percent. 1.2.Policy on trade of services The other major component of the change in trade policy is the changes in the service sector which aim is to ensure foreign firm to have an transparent and simple process for acquiring license in various sector such as banking and insurance, legal and other professional services, Telecommunications and tourism. 1.2.1. Right to trade and distribution Right to trade is one of the most regulated change due to WTO accession as it controls the right for foreign firm to import, export or retail goods in china. In the WTO accessions it is stated that within two years (by end-2003) foreign service suppliers will be permitted to engage in the retailing of all products, within three years (by end-2004)all firms will have the right to import and export all goods except those subject to state trading monopolies (e.g., oil or......

Words: 533 - Pages: 3

Premium Essay

Us vs China

...really trust Olin Insurance Company, we need to find out if the company is concerned with helping our middle income people, or only concerned with their bottom line. Wuhan is a growing city which was listed second on the list of future “supercities” in the June magazine called Future Supercities. We feel that Wuhan has a lot to offer, because it is located in central China which is just a one hour flight from Shanghai. If we are not able to negotiate these terms, we need Olin to show us another method that would help the Chinese middle income people. For a resistance point, we will not accept a deal that would only locate their office within Shanghai. We may be somewhat flexible in opening a second office in Shanghai in the future after Olin proves they are a trustworthy company. We understand that Olin wants to maximize their profits, but we need to also make sure we help our economy and the growing Chinese middle income people. b) We need a training center set up for 50 promising Chinese candidates in the city of Wuhan within six months of establishment. Building our economy is extremely important to China. Unlike the United States of America, the Chinese insurance market is very different. A lot of our Chinese people have to be educated on why there is a need for insurance. We look at this as a way to expand the pie. We understand that this will raise Olin cost but in the long run this will only help grow Olin as a business. Olin Insurance would be able to sell more......

Words: 5370 - Pages: 22

Free Essay

Us & China

... China and the United States Name Course Date China and the United States International relation is an important topic in the word because it concerns people from various backgrounds in the society and it touches on their cultures as well. International relations come to being concerning the different national governments. This paper will discuss the topic of international relations concerning the South China Sea dispute between the US and China (Goldstein, Pevehouse, 2014, p. 2). The issue of the South China Sea is a long-standing dispute between China and other Asian countries. There are mainly two groups of islands that are being contested for by these countries. The first of the two is the Paracel islands that are disputed for by China, Taiwan and Vietnam. The second is the Spratly Islands that is disputed for by china and the other ASEAN country members such as Brunei, and Malaysia. China’s interest in these regions is specifically for territorial control and for control over the mineral resources that are found in the region. The US, on the other hand, has had its interests in the region specifically for their commercial purposes. The US’ interests in the islands have been mainly for keeping the commercial routes through the region to its trading partners open. Additionally, the US’ interest in the region has been for military purposes where it has been seen to try to exert its military superiority through the dispute (Goldstein, Pevehouse, 2014, p. 182). These......

Words: 1313 - Pages: 6

Free Essay

Us & China

... China and the United States Name Course Date China and the United States International relation is an important topic in the word because it concerns people from various backgrounds in the society and it touches on their cultures as well. International relations come to being concerning the different national governments. This paper will discuss the topic of international relations concerning the South China Sea dispute between the US and China (Goldstein, Pevehouse, 2014, p. 2). The issue of the South China Sea is a long-standing dispute between China and other Asian countries. There are mainly two groups of islands that are being contested for by these countries. The first of the two is the Paracel islands that are disputed for by China, Taiwan and Vietnam. The second is the Spratly Islands that is disputed for by china and the other ASEAN country members such as Brunei, and Malaysia. China’s interest in these regions is specifically for territorial control and for control over the mineral resources that are found in the region. The US, on the other hand, has had its interests in the region specifically for their commercial purposes. The US’ interests in the islands have been mainly for keeping the commercial routes through the region to its trading partners open. Additionally, the US’ interest in the region has been for military purposes where it has been seen to try to exert its military superiority through the dispute (Goldstein, Pevehouse, 2014, p. 182). These......

Words: 1313 - Pages: 6

Premium Essay

China and the Us

...A Comparison of China and the United States using Hofstede’s Five Cultural Dimensions Kerbe Dorsey BUS600: Management Communications with Technology Tools (MOA1512A) Professor Stephen Griffith March 30, 2015 The global marketplace has become a very competitive and stress filled environment. The way a country deals with the many obstacle’s encountered on a daily basis may very well be the fine line that separates success from failure. In this piece we’ll look at the similarities and differences the US and China have gauged by Professor Geert Hofstede’s five cultural dimensions. As we examine the US and China, most would see these two countries as polar opposites of each other, but a closer look would r4veal some shocking cultural similarities. In two of Hofstede’s cultural dimensions the US and China almost mirrors one another. Masculinity and Uncertainty Avoidance are the cultural dimensions where the two countries see eye to eye. Both the US and China scored in the 60’s in masculinity (The Hofstede Centre). This is a key indicator of the competitive nature of both countries. The drive to be the best and the pursuit of excellence is alive and well in both countries. Whether it is an individualized approach or collective approach, the numbers are what they are and the US and China is similar in this cultural dimension. The cultural dimensions where the US and China differ the two countries......

Words: 795 - Pages: 4

Premium Essay

Us-Led Tpp and China-Led Acep

...1 of 17 Xianghui(Ray) Chen 2153583 China and Global Financial Crisis US-Led TPP VS China-Backed RCEP —Applying Main IR Theories To US Policy-Making Process And Relevant Developments The backdrop of the TPP and RCEP WTO and TPP TPP and TTIP are drawn from the two precedent successful free-trade experiments, the EU and NAFTA(North American Free Trade Agreement). EU originated from the European Coal and Steel Community, before developing into the Common Market and further into European Community, and finally, into the EU. 1The ‘living’, ‘evolving’ treaties and agreements of the EU very much guide the living agreement of TPP/TTIP. NAFTA originated from CUSFTA (Canada-US FTA), which was implemented in 1989, and followed by NAFTA, ratified in 1994. Both EU and NAFTA existed before the WTO finally replaced GATT at the beginning of 1995. The replacement not only greatly expanded sectoral coverage but also replaced the GATT’s quite weak dispute-settlement mechanism.2 The liberalization and integration of trade had mainly proceeded under the auspice of WTO prior to the year 2000. With the evolvement characterized by the widening of the trade agenda to include the movement of people and not just that of goods, services, investments and capital,3 international society called for an update of the WTO. Although the Doha round did inspire some discussion in 2001, developing states fundamentally refused to open their market to the services and goods of the developed......

Words: 7863 - Pages: 32

Premium Essay

China and Wto

...China’s economy and the WTO All Change China’s entry into WTO On 11Dec 2011, China completed its 10 years of WTO entry. China had to wait 15 long years get the entry into WTO after reapplying in 1980s after the communist revolution of 1949. Because of this, China had to relax 7,000 tariffs, quotas and other trade barriers. China signed up for multilateral rules. China imposed lower tariffs compared to Brazil and India. China feared that entry into WTO would lead to the distress of farmers and local industries due to foreign competition. However, reverse happened China became the world’s greatest exporter and second-biggest importer. China is in the process of implementing economic reforms and transforming its economy into one, which is more market-based. Impact on China China has enjoyed one of the best decades in global economy. Its dollar GDP has quadrupled and its exports almost quintupled. Foreign direct investment increased to 13.5% from 9.7% worldwide. America became China’s single biggest trading partner. The entry in WTO has contributed to the economic development of the China. In terms of global trade, consumers everywhere benefitted from cheap Chinese goods. Chinese growth has created a huge market for other countries’ exports. WTO entry has promoted China's foreign trade system reform and the decentralization of the import and export rights. The marriage of foreign expertise, Chinese labour and the open, global market has succeeded beyond the......

Words: 485 - Pages: 2

Premium Essay

Policy on Us-China Relations

...impact of RMB, the undervalued Chinese currency. China has been accused of unfairly manipulating its currency exchange rate in order to gain a price advantage in export. While China has benefited from this export trade advantage by artificially defining the value of RMB, it has become even more difficult for U.S. manufacturers to compete with their Chinese rivals. As a result, millions of jobs have disappeared in the U.S., mostly attributed to the U.S. trade deficit with China. It seems that many of those manufacturing positions could still exist without intervention from the Chinese government in the currency market. Backgrounds: The controversy about China’s currency manipulation has long been a subtle yet sensitive argument between Beijing and Washington. Without a market based floating exchange rate, the Chinese Yuan has appreciated approximately 30% beyond the dollar since 2005 (China Daily). In order to keep the value of Chinese Yuan low, the Chinese government has artificially maintained restrictions and controls over capital transactions, and has made large-scale purchases of U.S. dollars by constituting a de facto subsidy for Chinese exports to the U.S. as well as imposing a de facto tariff on imported U.S. goods. Consequentially, this policy has severely harmed several US manufacturing sectors, especially those that have been made to compete against the low-cost Chinese products. The growing trade deficit with China has cost the United States more than 2.8......

Words: 1175 - Pages: 5