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Tuesday, April 30, 2019
Chen Deming, CCG Honorary Chair; Former Minister of Commerce;
President of MOFCOM China Association of Enterprises with Foreign Investment (CAEFI)
Chen Deming: WTO Reform Matters In the New Era of Globalization
With the rapid development of globalization, current economic stagnation has posed a great challenge to the multilateral system. The core of this challenge is how great powers get along with each other. Closely related to the development of globalization, obstacles to WTO reform emerged at the G20 Summit in 2018. Member countries have divergent perspectives on the direction of reform as well as their own interests.
A key disadvantage of WTO rules is that many agreements call for unanimous approval by all 164 members, while its advantage is that it can implement sanctions as a permanent independent institution. However, after years of changes in international politics, economy and geopolitics, as well as the development of advanced technology such as IT, the liberalization and facilitation of trade and investment pursued by WTO is far from being achieved. Many rules need to be revised.
Many countries suggest that China and the United States should lead WTO reform. This is no easy task. China insists on differential treatment for developing countries, which is opposed by the United States.
This year, discussions on WTO reform will be on the agenda of the G20 meeting in Japan. Nonetheless, its realization still needs the consent from the WTO Ministerial Conference. This shows the difficulties in achieving progress in the formulation of global governance rules, especially setting multilateral rules in the short term.
Chen Jian, CCG Advisor; Former Vice Minister of Commerce
Chen Jian: China should grasp the trend of international rules
China's development is a destined result of 40 years of reform and opening up, and the process of continuous integration with international rules. Over the next 40 years, China should not only set clear goals, but also forecast and seize the trends in international rules.
The international power structure, division of labor, economic structure and governance system are all experiencing changes. We should accurately grasp the next step of development. Globalization not only promotes the growth of the global economy, but also brings problems such as exclusiveness, unfairness, inequality and non-reciprocity in the international trade system.
The trend of globalization 4.0 should be a progressive and upward process, starting from the weakest and the most needed place, and improving governance with a commitment to existing rules. In the process of improving the governance structure, we must uphold the core values of the multilateral trading system. This is the basic principle of WTO.
We must correctly understand the meaning of "no break" and "no stand", adhere to the spirit of the "Belt and Road” Initiative and properly handle contradictions between existing rules and new practices. We should move forward in the right direction with determination, treat differences with tolerance, solve complex problems with wisdom, and tackle lasting issues with patience.
Cui Mingmo, President of China Association for International Economic Cooperation (CAFIEC)
Cui Mingmo: China will open up widely for the next 40 years
2019 marks the 70th anniversary of China's founding. Over the past 70 years, China has achieved historic achievements in economic development. Looking forward, China has stated it will only be more open rather than shutting its door. This can be seen in China holding the upcoming second Belt and Road Forum for International Cooperation and the recently passed Foreign Investment Law to ensure a good investment environment for foreign investors.
China is showing the world its determination to continue to open up wider. China will continue to adhere to this policy and strive to open up over the next 40 years of reform and opening up.
Ronnie Chan, CCG Co-Chair; Chairman of Hang Lung Properties
Ronnie Chan: The East and the West should seek consensus while reserving differences and respecting each other's views
The new round of globalization has been widely discussed. However, whether there will be one, in what way it will happen, and whether it is a real process of globalization, are questions worthy of consideration at present. Ten years ago, no one would have expected that China would come forward to support a new round of globalization, while the United States turns back the clock.
China has been clear in its commitment to continue to open up in the future. Many developed countries, including the United States, believe that they are open enough. But unpredictable events like Brexit and the inauguration of Trump raise the question whether there might be the need to further open up. Meanwhile, whether China needs to fully open up like the West is also a question worthy of consideration.
The discourse systems of the East and the West are very different. President Xi Jinping proposed a community with shared future for mankind. We should work together to build a future that benefits everyone. Whether the West really wants to seek consensus while reserving differences is unknown, but it is hoped that the West can respect the different views of others. We hope that the East and the West can reach a consensus and pursue a future that is beneficial to all.
Wang Huiyao, President of Center for China and Globalization (CCG);
Vice President of China Association for International Economic Cooperation (CAFIEC)
Wang Huiyao: China will continue to expand its opening in Globalization 4.0
Globalization 4.0 has arrived. China will continue to open up and actively promote a new round of global economic opening to provide an important driving force for the development of an open world economy.
The new round of globalization needs more consensuses, so as to expand the opening up and promote the innovation of talents and education, and the progress of globalization 4.0 with the development of science and technology.
In the era of globalization 4.0, China will provide the world with more wisdom and put forward greater plans. With the prevalence of trade protectionism and unilateralism, global governance is facing new challenges and new situations. How to develop a higher level of open economy in the future, how to deal with a new round of globalization challenges and how to better participate in global governance and build a community with shared future for mankind are all urgent issues to be considered.
Liu Shijin, CCG Advisor; Deputy Director-General of Economic Council under the CPPCC;
Vice President of Development Research Foundation under the State Council
Liu Shijin: The key to China's future reform is to implement the objectives
Despite experiencing many setbacks, globalization has been moving forward due to the resilience of this process. Internationally speaking, the Sino-US trade relationship has been developing and is likely to result in an agreement in spite of recent trade disputes. It is in the fundamental interests of the two powers, as well as the international community, to expand the common interests they have. This is the impetus of globalization.
At the same time, WTO reform is also imperative. The trade relationships among China, the USA, Japan and Europe may end up with a non-tariff free trade zone. It may take a long time, but the target is there. Domestically speaking, the Chinese economy is experiencing a transformation from high-speed to medium-speed growth. The main sources of China's growth in the future will include the improvement of low-efficiency sectors, income growth, human capital upgrading of the low-income population, the transformation and upgrading of consumption and production structure, cutting-edge innovation and green development.
China is facing challenges both at home and abroad. The system needs to be improved, new reform objectives should be put forward and a high-level market economy has to be built. China's next step is to carry out the reform objectives that have been proposed.
Justin Vasse, Director-General of Paris Peace Forum
Justin Vasse: The Direction of Globalization: Maintenance, Reform and Expansion
There are many reasons behind anti-globalization, including a break in the global value chain caused by 2008 economic crisis, the rapid development of service sectors and trade frictions. There are three directions for the future of globalization.
First, WTO should fulfill its responsibility of maintaining the mechanism of globalization and regulating global trade in a better way. China and the EU are making headway on this and should work together to fight against trade unilateralism.
Second, the WTO does require reform. Responding to this, the EU does not agree with some of the Trump administration's unilateralist policies. China and the EU have been communicating closely with each other and expect a solution to be brought forward by the China-EU working group within the framework of WTO.
Third, we should expand and push forward global governance. In the future, we should pay more attention to the relationships among environment, geopolitics and trade relations. On one hand, in order to reduce carbon emissions and protect biodiversity, we must link it with trade and ensure their coordination.
On the other hand, peace promotes globalization and stability brings greater trade. In the future, we should strengthen the relationship between trade and geopolitics and avoid repeating the same mistakes. We must reduce risks and avert more trade wars, protectionism and geopolitical threats.
Hon. Terry Miller, Director of Center for International Trade and Economics, Heritage Foundation;
Former US Ambassador to UN
Hon. Terry Miller: China should learn from the World Bank's experience on BRI
CCG has created this platform for international exchanges of ideas and promoting mutual understanding. As globalization has entered a new phase, the Belt and Road Initiative serves as an important path in the process of globalization and plays an important role in enhancing cooperation and mutual trust among all countries.
Over the past few decades, China has led hundreds of millions of people out of poverty and towards globalization. With its growing strength, China is becoming more active in integrating itself into the international community. In essence, the Belt and Road Initiative is complementary to the functions of the World Bank and the International Monetary Fund.
Therefore, China can learn more from the existing experience to enhance the transparency of the Belt and Road cooperation by tackling corruption and contributing more to the development of globalization.
Center for China & Globalization（CCG）is a leading Chinese nongovernmental think tank based in Beijing. It is dedicated to the study of Chinese public policy and globalization. Boasting a strong research team, it enjoys an impressive record of publications and events with broad public policy impact.
CCG is ranked in the Top 100 Think Tanks worldwide, the Best nongovernmental think tank in China and in the Top 6 Think Tanks in China according to the world-renowned "2018 Global Go To Think Tank Index Report", released annually by the University of Pennsylvania's Think Tanks and Civil Societies Program. CCG is currently the only non-governmental Chinese think tank to hold “UN Special Consultative Status”.
Two well-known scholars, Dr. Wang Huiyao and Dr. Miao Lu, founded the CCG in 2008. Today near 100 in-house researchers and staff serve this thinking hub with subsidiaries and divisions spanning across China including Shanghai, Shenzhen, Guangzhou, Qingdao and Hong Kong.
Friday, April 26, 2019