Governance by Negotiation: The EU, the United States and China’s Integration into the World Trade System

Abstract

When, in December 2001, the protocol stipulating the terms of China’s accession to the World Trade Organization (WTO) was signed, a negotiating process came to an end which had lasted for more than fifteen years. It was a momentous event in the history of the attempt to create a truly global governance structure. China had not participated in the enormous expansion of world trade after World War II. Expectations were running high regarding the potential of an eventual opening of the China market, particularly in those industrialized countries which had been central in setting the parameters of China’s integration into the global trade regime. By far the most important actors in this process were the European Union and the United States. Both define to a large extent the emergence of new governance structures in the international economic system. The case of China is, due to its political and economic importance, a good indicator for their respective strategies in this process. With a focus on the negotiations about China’s accession to the WTO, this chapter tries to identify recurring patterns in the ways the EU and the United States manage the continuing expansion of globalization to new territories and sectors.