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China to remain top market for Asia-Pacific economies: think tank

Xinhua | Updated: 2019-01-16 01:10
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A cashier at a bank in Taiyuan, Shanxi province, counts renminbi notes. [Photo by Zhang YunChina News Service]

LONDON, Jan. 15 -- Despite a recent decline, China will remain the prime destination for Asia-Pacific (APAC) exports for several years to come, the British think tank Oxford Economics said on Tuesday.

According to Oxford Economics researchers, APAC economies have been highly integrated with China's economy since the country's WTO accession in 2001. Given their geographic proximity, APAC countries even have stronger trade links with China than with the rest of the world.

"While China has become a principal final destination for many APAC exports, what's more striking is that China is also the largest import source for most APAC countries," they said in a study.

China plays an increasingly significant trade role for Asian countries such as India or Vietnam, which strive to increase income level and stimulate industrial development.

"Participating in Asia's supply chain and penetrating the Chinese market are key to helping industrial sectors succeed," the report added.

Meanwhile, trade dependence on China is also growing outside of Asia, the report showed.

"Resource-rich emerging countries outside of Asia, such as Chile, Brazil, Saudi Arabia and Russia, have high export intensities with China, exporting large amounts of energy and commodities there," it said.

The researchers added that these countries' "export intensities with China are even higher" than those of many Asian countries.

Furthermore, countries "such as Russia and Argentina have higher import than export intensities given that they import even larger amounts of manufactured goods from China compared to the energy and commodities they export," it said.

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