China’s ‘Internationalization’ may hurt domestic economies

The full globalization of the Chinese economy will not be painless, Pascal Lamy, director general of the World Trade Organization (WTO), told CNBC.

China’s trade relations, especially with the United States, have been marred by tension. The U.S. has accused China in the past of manipulating its currency to make its exports more attractive. More recently, accusations of cyberspace hacking have further muddied the waters between the world’s two largest economies.

But the WTO Director General said that the new leadership in China seems to be going in the right direction in improving market access to China.

“What I heard the new Chinese leadership saying is that we want to keep China opening its market, we want to keep internationalizing the Chinese economy,” Lamy said.

However, he added that this process of opening up will not be without challenges as it will face resistance from domestic players who will not always welcome foreign competition.


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Mingze Wu

Mingze Wu

Currency Analyst at Market Pulse
Based in Singapore, Mingze Wu focuses on trading strategies and technical and fundamental analysis of major currency pairs. He has extensive trading experience across different asset classes and is well-versed in global market fundamentals. In addition to contributing articles to MarketPulseFX, Mingze centers on forex and macro-economic trends impacting the Asia Pacific region.
Mingze Wu