The Division of Power in Mainland China`s Foreign Trade: Its Development and Impact

Abstract

In the years prior to economic reform in 1978, the growth of foreign trade in mainland China was hampered by the highly centralized system of controls over imports and exports. Since 1978, authority over foreign trade has been devolved to local governments. While these reforms boosted the volume of trade, they have also increased the local governments’ hunger for autonomy. Since some areas have accumulated considerable wealth through foreign trade, their relationship with the central government has also undergone changes.