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China is a ‘developing’ country: WTO

  • Posted By
    10Pointer
  • Categories
    Economy
  • Published
    12th Jan, 2022

Context

China's status as a 'developing country' at the World Trade Organization has become a contentious issue.

What do other countries say?

  • Countries such as India, the US, Australia and the EU are citing World Bank data to point out that China’s per capita income has risen enough for it to be termed an upper middle-income country. 

What is a developing country?

  • A developing country is one with comparatively low economic output. 
  • There has been a lot of debate as to where to draw the line between a developed country and a developing one, which can be seen by the lack of one single meaning for the term.

WTO definition of developing countries

  • There are no WTO definitions of “developed” and “developing” countries. 
  • Members announce for themselves whether they are “developed” or “developing” countries. 
  • However, other members can challenge the decision of a member to make use of provisions available to developing countries.