StudentShare solutions
Triangle menu

Chinas Economic Growth - Essay Example

Nobody downloaded yet
The EU has progressively liberalized textile and clothing imports under quotas to a present level of only 25% of total imports.(Heagreaves,2004)(Smook, 2005) Though the barriers to the entry into the EU market has increased considerably in terms of quality, innovation, lead-time and design, the benefits of 'Chinese imports without quota' remains attractive. If the top importers of textile apparel into the whole world EU is assessed, China ranks in the first place, but only accounts for 19.9% of the market. The growth of China with increased penetration of EU will possibly assist in sustaining competitiveness in China, which will make it less reliant on US market. (Smook, 2005)
The globalization, of China, in the phasing-out quota, will produce new challenges in the competitiveness, since quotas imposed were generally based on historical exports to those countries and bilateral relationships. Countries for which quotas provided a shield against their low competitive ability will lose out, and countries like China can only go forward through greater competitiveness. China joined the WTO late, at a stage when the 10- year quota phase-out (MFA) was already in progress and as a result, a number of textile and apparel items were quota free overnight. And simultaneously, with joining the WTO, the Chinese Government was actively engaged in new political and economic reform. Large investment in the manufacturing industry increased exports, and the start of the phasing-out of State Owned Enterprises (SOE's) increased unemployment. This resulted in the increase in production and exports. Overall Chinese textile and apparel imports to the US alone grew by 117% in 2002, and another 75% by August 2003 in some quota categories (Heagreaves, 2004) (Smook, 2005)
The massive and growing population of China provides for low cost of labour which can be a great advantage in achieving low cost production. The government support and quota privilege, adds to the economic advantage. The low cost of raw materials and low cost labour, when pushed to attain quality output and timely delivery can be a very promising position to attain a position in the world market, including EU. China with these comparative advantages has achieved the level of economic transition, , with very promising projection of substantial growth by 2020, if it could resolve some hard issues like Factor Price reform, Ownership reform of SOE's, Government reform (fiscal and monetary), Unemployment, surplus labour, Rural-urban migration and rural-urban income divide, Lack of safety net, health, pensions, housing etc., Incomplete legal system, Large amounts of non-performing loans (NPLs) and credit constraints for SMEs, Environmental degradation and AIDS incidence and challenge of containing SARS it affects productive capacity and export markets. (Smook, 2005)
The textile industry is merged with the Chinese economy and population, so closely it almost forms the spine of economic development. The estimates of the number of factories in China range just as widely as employment estimates. There are more than 100,000 factories engaged in some aspect of textile production, with much growth in the recent years attributed to garment sewing. And, China maintains her position as the larges textile manufacturing nation in the world, with fair share of control over EU market. It has been said that "there are more sewing machines in ...Show more


Summary: The entry of China in EU market, is more challenging in terms of monopoly, the most critical sector are those associated with the access of the market. The adoption of the countervailing measures by importing countries to stem the flow of the imports from China is a real possibility…
Author : czemlak
Chinas Economic Growth essay example
Read Text Preview
Save Your Time for More Important Things
Let us write or edit the essay on your topic
"Chinas Economic Growth"
with a personal 20% discount.
Grab the best paper

Check these samples - they also fit your topic

Why is Chinas Economic Growth Slowing Down
Why is China’s Economic Growth Slowing Down? China’s economic growth will hit the lowest ebb in 2012, as stated in recent report published by the World Bank. However astoundingly, while the long-term trend indicates a slowdown, figures released by the Chinese government paint a more nuanced and mixed image of the economy.
4 pages (1000 words) Essay
Economic Growth Essay
Most of the countries around the world, that have shown rapid economic progress, have achieved this progress usually during the reign of a single leader e.g. Dubai’s economic growth in particular and that of the UAE’s in general primarily happened in the past three to four decades which was the reign of Sheikh Mohammed bin Rashid Al Maktoum and his father.
6 pages (1500 words) Essay
Chinas Rapid Economic Growth and Transformation
The country contributed to approximately 10 percent of the world growth in the 1990s and in the decade up to 2010 in contributed to nearly 25 percent. In the meantime the country has economically empowered 600 million people and transformed its cities.
9 pages (2250 words) Essay
Chinas Economic Growth
This paper focuses on three of these problems including environmental degradation, income inequalities and unemployment. It then discuses their causes, impacts and the difficulties experienced in overcoming them. The conclusion section summarizes the main issues presented in the paper and makes inferences where appropriate.
11 pages (2750 words) Essay
Economic globalization in China
It opposed the global economic order, political order and the major global institutions such as the IMF and the World Bank before the reforms started in China (Overholt, p.3). Earlier, China like socialist countries perceived globalization as a product of
5 pages (1250 words) Essay
Chinas growth contradicts the links between democracy and growth. Discuss
China has focused less on democracy issues due to the reduced sense of urgency depicted by insignificant negative effects of lack of democracy on
10 pages (2500 words) Essay
Expanding an MNC
Since its incorporation, Nestfree has made a reputable position in the market with major competitors such as Haier, LG, Panasonic etc. Nestfree expanded its products range
5 pages (1250 words) Essay
Globalization, as an issue affecting human geography, refers to the process and platform that supported by integration and exchange on a single international market. It has notable impacts on the world population through diverse
4 pages (1000 words) Essay
The life after black gold (oil)
According to Bulent Gokay, it was the worst financial crisis in the US since the days of Great Depression witnessed during 1929 and onwards. Initial impact of the US crisis across
1 pages (250 words) Essay
Project: China
The active participation of china in international trade may also contribute in making the country a global economic powerhouse. China initiated economic reforms and adopted an open-door economic policy to participate more in international trade. The result of the policy
4 pages (1000 words) Essay
Hire a pro to write
a paper under your requirements!
Win a special DISCOUNT!
Put in your e-mail and click the button with your lucky finger
Your email
Comments (0)
Click to create a comment
Let us find you another Essay on topic Chinas Economic Growth for FREE!
Contact us:
Contact Us Now
  • About StudentShare

  • Testimonials

  • FAQ

  • Blog

  • Free Essays
  • New Essays
  • Essays

  • The Newest Essay Topics
Join us:
Contact Us