|
 OPPORTUNITIES
FROM
CHINA'S
ACCESSION
TO THE WTO
"An
Opening Door"
Michigan
The China WTO Accession
Agreement (CWAA) opens an
important market to Michigan
exports, benefiting key
industries and creating export
and employment opportunities.
The importance of exports to
China and the benefits of the
CWAA for Michigan and its key
industries are outlined below
Export Profile
China was Michigan's 7th
largest export market in 2004.
Michigan's exports to China in
2004 totaled $607 million--a
$396M increase from 1993 sales
of $211 million.
Michigan
exports a wide range of
products to China with 1998
sales encompassing 24
different product groups, up
from 2l product groups in
1993. For more
information on specific
exports, please see: China
WebGuide.
Businesses
in the Detroit metro area sold
$180 million in merchandise to
China in 1998--an 11 percent
jump from 1993 sales of $162
million. Specific information
on Washtenaw County was
unavailable.
Other Michigan metro areas
also increased exports to
China over the 1993-98 period.
The Kalamazoo/Battle Creek
area expanded sales to China
by 353 percent while exports
from Flint and the
Lansing/East Lansing area each
grew by over 84 percent.
Sector Snapshot
As a result
of the CWAA, Michigan's key
export sectors benefit from
reduced tariff in China,
strong intellectual property
protection and improved trade
talks protecting U.S.
industries against unfair
trade practices and removing
burdensome obstacles,
including:
- Tariff elimination for
information technology
products and furniture.
Major tariff reductions
for: construction
equipment including
petroleum equipment, motor
vehicles, auto parts,
engines, building
materials, tracks, paper,
scientific and measuring
instruments, pumps and
compressors, specialized
machinery, metalworking
machinery, rubber working
machinery, paper and
printing machinery, power
generation equipment,
dishwashing and drying
equipment, medical
equipment, environmental
technology equipment, food
processing machinery,
welding machinery, and
molds. These products are
produced by a variety of
Washtenaw County
exporters.
- Harmonization of tariffs
at low rates for
chemicals, including
plastics and
pharmaceuticals.
- Elimination of import
restrictions for products
such as construction
equipment, and printing
machinery.
- The agreement will open
the market for a wide
range of services,
including
telecommunications,
banking, insurance,
financial, professional,
hotel, restaurant,
tourism, motion pictures,
video distribution,
software entertainment
distribution, periodicals
distribution, business,
computer, environmental,
and distribution and
related services.
- U.S. farmers no longer
will have to compete with
export subsidies on
China's agricultural
products. Also, China has
agreed to eliminate
sanitary and phytosanitary
barriers that are not
based on sound scientific
evidence. In addition,
exporters will benefit
from broadening the right
to import and distribute
imported products in China
and from tariff cuts on a
wide range of products
including dairy products,
fruits, and vegetables.
China also will end its
import monopoly for bulk
commodities and establish
a large low-duty
tariff-rate quota for corn
and soybean oil. Soybean
oil will be totally
removed from state trading
in six years.
Selected
China Trade Links
Recent
market research
Recent market
research completed by the US
Commercial Service can be
found on www.Export.gov.
Copies of these reports are
available free of charge by
contacting your nearest office
of the US
Commercial Service.
Suggested
Reading
We also
suggest that review our
companion pieces entitled Turley's
Tips for suggestions on
how to succeed in China
authored by the US Senior
Commercial Officer in Beijing
and China
WebGuide.
For further
information or assistance
regarding China or other
export markets, please contact
your nearest office of the US
Commercial Service.
|
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China’s
imports of U.S.
products are
growing,
doubling since
1990..
Click
on the photo..
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Date Updated: March 27, 2007
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