china, wto and its impact on india - icrier

discussion. Once the discussion is over <strong>and</strong> a decision is
taken, the implementation <strong>and</strong> enforcement is easier.
One important feature of China which cannot be
ignored is that the politics of China is changing. China is
growing from being a fiscally decentralized conglomerate
to a fiscally more centralized system of political
management, <strong>and</strong> what this does to province-centre
relations time alone will tell. But it is certain now that the
dice is heavily loaded in favour of the federal government.
The provinces which have enjoyed great fiscal autonomy
are now beginning to react negatively, <strong>and</strong> they are now
forming a phalanx of opposition to the WTO.
The WTO <strong>and</strong> Law
In India, there are many trade experts, <strong>and</strong> only a few
lawyers, dealing with the WTO issues. The Chinese have
realized that the WTO is increasingly about law, <strong>and</strong> have
sought German assistance in building up their legal system.
The Chinese feel more comfortable with the Germans, <strong>and</strong>
are not too happy with the Americans. 2
Perhaps because Germany is seen to be one of the
very few countries that did not impose their will in pre-
Communist China. The Japanese occupied China, the
British put the treaty of Nanking <strong>and</strong> the opium trade <strong>and</strong>
the Americans had their own protestant missionaries.
2 Sixty per cent of all cars sold in China are volkswagon cars. So
there is a special relationship. Germany gets treated differently in
China <strong>and</strong> there is a great respect for Germany.
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