Chinas eco transformation/strategy
Publié le 11/04/2011
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Since 1978 standard of living has tripled and this date is significant for the time when china first opened its economy ( Guangdong first region to have been industrialized w/ HK(dynamic business region pulled devpt into china through HK backdoor) + Shanghai and Yangtze river integrated into the ASEAN).
China went from a communist centrally planned economy to a market oriented system (SEZ attract more FDI) + communist restrictions relaxed (entreprises moved into china)
1st stage: Develop heavy industry to stimulate employment w/ large # of workforce w/ low skills required (ex: Steel (ship building+ exports), textile/shoes (large domestic/ foreign market)
2nd stage: Devpt of SEZ’s/ open cities
ð TNC’s come because of benefit + access to huge market
ð China can therefore put more demands on the TNC who want to come
ð New/faster techno hubs.
ð Govt kept Yuan low to favor Chinese products on home market thf created diversification
3rd stage:
ð devpt of ressources w/ nuclear,solar, hydro electric=> no more coal polluting stations
ð devpt of infrastructure/ education(schools)/services (railways, highways, ports…)
ð devpt of high tech :internet/telephone lines, Danish biotechnology firm..
ð devpt of financial system: In 2001 china entered the WTO => entered global economy+ access to global markets + boom in trade. Boom linked to the decision to industrialise for export rather than for internal needs. Nonetheless huge internal market + reform banking sytem and insurance market opened to competition.
China has developed solid links w/ BRICS and has become the biggest EU trading partner in 2004
ð develop tourism/ Olympic games allowed to develop Beijing as rising a financial and political centre
HWV pbs linked to rapid eco growth
- income gap btw urban and rural => massive urban migration
- Enviro problems
- unemployment
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