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China and the Least Developed Countries: An Enquiry into the Trade Relationship during the Post-WTO Accession Period

Author

Listed:
  • Debapriya Bhattacharya
  • Farzana Misha

Abstract

In the post-WTO accession decade, China’s trade relationship with the least developed countries (LDCs) has undergone significant transformation. In this context, the present paper seeks to analyse trends, nature and determinants of the evolving trade relationship between China and the LDCs. The paper, based on a cross-section analysis, further intends to develop an understanding of this relationship in terms of its changing regional attributes and product composition. The analysis reveals that trade regime between China and the LDCs is characterised by high product concentration, regional orientation and positive trade balance in favour of China. As a part of the effort to explain the China-LDC trade performance, a basic gravity model has been used in the paper which shows that China’s entry into the WTO had both direct and indirect impact in promoting trade with the LDCs.

Suggested Citation

  • Debapriya Bhattacharya & Farzana Misha, 2013. "China and the Least Developed Countries: An Enquiry into the Trade Relationship during the Post-WTO Accession Period," CPD Working Paper 103, Centre for Policy Dialogue (CPD).
    • Handle: RePEc:pdb:opaper:103
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    References listed on IDEAS

    as
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    6. McCallum, John, 1995. "National Borders Matter: Canada-U.S. Regional Trade Patterns," American Economic Review, American Economic Association, vol. 85(3), pages 615-623, June.
    7. Terrie L. Walmsley & Thomas W. Hertel & Elena Ianchovichina, 2006. "Assessing The Impact Of China'S Wto Accession On Investment," Pacific Economic Review, Wiley Blackwell, vol. 11(3), pages 315-339, October.
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    More about this item

    Keywords

    China; WTO accession; LDCs; China-LDC trade;
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