1. China is one of the largest textiles producing and exporting countries in the world. Textile industry, as a labor-intensive industry with high foreign trade dependence degree, has made considerable contributions to China’s relatively stable employment and foreign exchange reserves. Correspondingly, due to keen demand, the U.S. needs to import magnanimous textiles. Therefore, enormous textile trade between China and U.S. seems logical. Nonetheless, because of some trade barriers like quotas, U.S’s textile import from China used to keep at a relatively lower level. 2. The WTO is an intergovernmental organization, which regulates international trades and oversees the implementation, administration and operation of the covered agreements. After …show more content…
Main Arguments A. With the development of economic globalization and trade liberalization, degree of openness has gradually become a momentous factor that affects countries’ economy. On account of “Protocol on the Accession of the People 's Republic of China” and the WTO’s principals, China’s degree of openness is expected to rise after entering into the WTO. (This argument helps explain thesis statement (b)) B. China has the largest population in the world. Therefore, due to textile industry’s labor-intensive property, it’s obvious that China has a comparative advantage at producing textiles. After China entering into the WTO and U.S. clearing lots of trade barriers between China and U.S, the quantities and value of textile exports from China to U.S. should show an increasing trend. Besides, China should always keep trade surplus in textile trade. C. However, the stagnation in 2008 and the slight decrease in 2009 shouldn’t be ignored. Almost simultaneously, great recession occurred in the U.S. and caused damage to U.S’s imports. This problem probably limited China’s exports, so I assume that great recession is the reason of stagnation and slight decrease. (This argument and argument B help explain thesis statement
The Global Apparel Manufacturing industry contains men’s, women’s, and children’s apparel. This industry includes manufacturers that purchase fabrics and make fabrics themselves with certain facilities. The key economic drivers of this industry are GDP of BRIC nations, Global per capita income, GDP, World price of cotton, and Global population. The industries that supply Global Apparel Manufacturing are Global Agriculture, Hunting, Forestry, and Fishing. The Demand Industries that feed off of Global Apparel Manufacturing are Global Wholesale and Retail Trade, Global Department Stores, and General Merchandise Stores. The main activities of the Global Apparel Manufacturing industry are winter clothes
The used clothing industry is staying off the radar from the people who donated the clothes, and is building up a very strong international trade net. However, the used clothes trade also
As Ian Fletcher pointed out in Free Trade Doesn’t Work: What Should Replace it And Why, nations need a well-chosen balance between openness and closure toward the larger world economy (Fletc...
US-China Business Council, Inc. "US-China Trade Statistics and China's World Trade Statistics." US-China Business Council. 1 March 2010 .
The World Trade Organization (WTO) is an organization that intends to supervise and liberalize international trade. The organization deals with regulation of trade between participating countries; it provides a framework for negotiating and formalizing trade agreements, and a dispute resolution process aimed at enforcing participant's adherence to WTO agreement, which are signed by representatives of member governments and ratified by their parliaments.
In 1978, China was positioned 32nd on the planet in export volume, yet it had multiplied its reality exchange and got thirteenth biggest exporter in 1989. Between 1978 and 1990, the normal yearly rate of exchange extension was over 15 percent,[11] and a high rate of development proceeded for the one decade from now. In 1978 its exported on the in the world of the overall industry was insignificant, in 1998 regardless it had short of what 2%, however by 2010, it had a world piece of the overall industry of 10.4% as stated by the World Trade Organization (WTO), with stock fare offers of more than $1.5 trillion, the most astounding in the world.
When America's cotton is sent to China, it is made into T-shirts in the sweatshops of China by laborers working 12-hour days and being paid subsistence wages. When the finished T-shirts re-enter the U.S., they are protected by the government through subsidies, tariffs, taxes, and protectionist policies that ensure that these foreign products will not provide too much competition to American-made shirts. Government regulations control how many T-shirt can be imported from various countrie...
In china, for example, Wal-Mart’s importing operations have significantly affected the manufacturing sector in a manner that gradually unemployment has been stimulated (Holmes 1). The trade deficit between Wal-Mart and China have led to a loss of almost one hundred and thirty- three employment opportunities, especially with Wal-Mart importations. Despite China’s efforts of trying to purchase United States’ treasury bills along with federal securities in an effort to reduce the exportation costs to America, Wal-Mart’s entry into the Chinese market has propelled china’s labor abuse along with internal violations of recognized trade norms (Fishman 1). This is caused by the retail’s growing and vast conduit that allows the distribution of subsidized and cheap Chinese exports to the doorsteps of United States’ market (Neumark, Junfu, and Stephen
The massive increase in the Chinese trading relations was fueled by the United States in the year 1979 through the normal trade relations between the two countries. In addition, the Chinese non-concession to the World Trade Organization (WTO) in the year 2001 also facilitated its trading activities with different countries including the United States (Kaplan, 57). However, trading relations with the Chinese have been uneasy resulting from the massive trade imbalances in the recent past, which grows exponentially. The protectionist policies of the United States especially in Washington and Beijing have been putting pressure on the Chinese to revalue their currency as well as protecting it from counterfeits, which may be of adverse effects to the trading relations. This paper gives a comprehensive discussion on the foreign trade relations with china. It further gives an elaborate discussion on the impacts of foreign tr...
Haddad, M., Shepherd, B., & World Bank. (2011). Managing openness: Trade and outward-oriented growth after the crisis. Washington, D.C: World Bank.
The current trade imbalance is caused in large part by intrinsic features of China's labor market and consumer base. The vast majority of China's 1.3 billion people still live in rural areas. China has, by some estimates, a surplus rural labor force of 120 million people, many of whom migrate to industrial centers to look for factory work, and drive down wages. As long as wages are low, the United States will continue to gobble up products made in China, while Chinese consumers will prefer to buy cheaper, homespun alternatives to American products. The rise in trade deficit with China has come at a cost to jobs in the United States, accordin...
The textile manufacturing industry is one of the biggest industries in the world that is currently worth nearly three thousand trillion dollars. The industry is constantly growing with the wants from consumers around the world. In order to meet and satisfy these wants from customer, “Development in the textile and clothing industry has focused on technological and cost aspects. Emphasis has been placed on keeping the price of the final product low and increasing efficiency in production.” (Niinimaki & Hassi, 2010, p. 1876) At the same time, with this expansion of the textile manufacturing industry and its consumption, pollution, climate change, fossil fuel and raw material depletion, and water pollution and shortage are constantly occurring
As soon as the shift to a free trade regime appeared along with the competition with countries such as China and Indonesia the quick collapse of Bangladesh’s textile industry has been predicted. However, the opposite occurred. We can highlight three major reasons to explain what happened:
China’s economical strength comes from its international trades as the economy has grown to a rate of 10.3% in 2010. It has become the world’s largest exporter in the global economy. In the area of trade, three major strengths of China are 1) it is the single most important challenge for the European Union (EU) trade policy, 2) China is the second trade partner behind the U.S., and 3) it is the EU’s biggest source of imports by far with the dramatic increase in the EU-China trades over the recent years. The EU exports of goods to China were 113.1 billion Euros and in imports was 281.9 billion Euros in 2010. The service exports were 18 billion Euros and in imports were 13 billion Euros in 2009. China has also established trades with Australia. Recently, the two countries have been cooperating and assisting each other in industries such as agriculture, energy and minerals as they continue their free trade agreements (Jia Qinglin).
International organizations create space for its members to coordinate interests and actions which helps promote interdependent relationships among them and strengthens their legitimacy. As society has progressed, it has globalized, and in the past 50 years states have had to address their growing dependence, especially in the economic sector. The World Trade Organization (WTO), is an institution which has an immense impact on the international political economy and the way states function within the international system. It organizes agreements and treaties which govern how its members decide policies, tariffs, and keeps states accountable for their actions. For example, the General Agreement on Tariffs and Trade (GATT), determines how states can regulate their import and exports. (Hurd 2014,