A mother and daughter out for some Sunday shopping at a popular Beijing department store decided to hold off for awhile on their purchase of expensive imported cosmetics, believing that the price is likely to drop soon now that China is a member of the World Trade Organization (WTO).
In fact, most Chinese consumers think that China's entry into WTO will bring them opportunities.
A western diplomat living in Beijing said that China's WTO entry shows its opening up and reform policy will continue on its current unstoppable course, and the whole world has recognized the important role that China will play in promoting global prosperity.
Chinese people are excited and at the same time under pressure in the face of the timetable to open up the nation's market.
Chinese Finance Minister Xiang Huaicheng said he was pleased that China has gained more equal opportunities in world trade after the entry. "But I am also worried that some departments are not yet fully prepared," he added.
Wu Jinglian, a well-known Chinese economist, said "opportunities lie in the challenges" that WTO will bring.
Foreign-funded companies' entry into China's wholesale and retail agricultural business will bring fierce competition to the traditional Chinese companies. On the other hand, the international competition will stimulate Chinese enterprises to make full use of the foreign management and experience to set up their brand names and chain enterprises in two or three years, said Dai Jianfeng, executive general manager of Golden Valley Supermarket Management Ltd. Company.
The rules of WTO will soon help China foster a more unified, open, competitive and orderly market for its domestic car industry. Meanwhile it will also put the car industry up against the advantages of multinational enterprises, said Zhang Xiaoyu, an official with China Association of Automobile Manufacturers.
Liu Chuanzhi, CEO of Legend, China's biggest non-state technological enterprise, said that some Chinese enterprises may have to confront difficulties, but this also provides a historical chance to learn and innovate.
Some may pay heavy price in the global arena at first, Liu said. But if they persist in innovation and try to meet international standards, they will be richly rewarded in the long run.
An official with Financial and Economic Committee of the National People's Congress said China's entry into WTO will also pose challenges to government. Therefore, China should study and adopt a suitable administrative system to adapt to the market economy.
An oft-heard concern among Chinese who believe WTO entry can only work against China is that the rate of unemployment will rise, an alarming possibility given the nation's already high percentage of laid-off workers.
The entry into WTO will remove the barriers between urban and rural areas, which can facilitate the flow of capital and labors. This will help create more job opportunities, said Xie Yang, an official with the Development Research Center of the State Council.
As more and more foreign capital comes in after the WTO, there will be a greater demand for talented people. This means young Chinese can get more chances to study overseas, said Liu Ying, a graduate student at Nanjing University.
(Xinhua News Agency November 11, 2001)
