Course Code : SEM203
Course Name : International Economics
Lecturer : Dr. Than Lee Lee
Academic Session : 2022/04
Assessment Title : China and Canada
Submission Due Date : 14.6.2022
Prepared by : Student ID Student Name
CST2004039 Liyau Zheng Wei
IBU2102030 Lau Zi Xuan
IBU2102087 Lee Kui Foung
Date Received :
Feedback from Lecturer:
Mark:
1
, Own Work Declaration
I/We hereby understand my/our work would be checked for plagiarism or other misconduct,
and the softcopy would be saved for future comparison(s).
I/We hereby confirm that all the references or sources of citations have been correctly listed or
presented and I/we clearly understand the serious consequence caused by any intentional or
unintentional misconduct.
This work is not made on any work of other students (past or present), and it has not been
submitted to any other courses or institutions before.
Signature: Liyau, Lau, Lee
Date:14/6/2022
2
,Table of Contents
1.0 Background of China and Canada…………………………………………………………4
2.0 Terms of Trade…………………………………………………………………………….5
3.0 Trade Openness……………………………………………………………………………7
4.0 Manufacturing Value-Added………………………………………………………………9
5.0 Service Value-Added…………………………………………………………………….12
6.0 Effect of Change of Terms of Trade and Trade Openness on Manufacturing Value-Added
and Service Value-Added…………………………………………………………………….14
7.0 Trade policies of China and Canada……………………………………………………...18
8.0 Recommendation…………………………………………………………………………21
9.0 Conclusion……………………………………………………………………………......22
10.0 References………………………………………………………………………………23
11.0 Appendix………………………………………………………………………………..26
3
, 1.0 Background of China and Canada
China is an East Asian country, bordered by the East and South China Seas, and Korea Bay.
14 sovereign states are China’s neighbours. China’s topography is diverse, mostly mountainous,
with plains in the east and deserts in the west. The main rivers flow from west to east, such as
the Yangtze River and the Yellow River. China is a communist country; the president is the
head of state and the prime minister is the head of the government. China has a market-based
system, having changed from a centrally planned system in the 1970s (globalEDGE, 2022).
China is a member of the Asia-Pacific Economic Cooperation (APEC) and the Asia-Pacific
Trade Agreement (APTA) (globalEDGE, 2022).
Since the reform and opening up economy in 1978, China’s GDP has grown by nearly 10%
annually, and more than 800 million people have been lifted out of poverty. China is a
developing country, and the income level is upper middle class. It will be important going
forward that poverty alleviation efforts increasingly shift to address the vulnerabilities faced
by the large number of people still considered poor by the standards of middle-income countries,
including those living in urban areas (Bank, 2022).
Canada is a country in North America that extends from the Atlantic Ocean in the east, to the
Pacific Ocean in the west, and the Arctic Ocean to the north (globalEDGE, 2022). Canada is
on the site of the United States. Canada is mostly plains, while the west is mountainous. Canada
is a parliamentary democracy, a constitutional monarchy, and a federalist country. The Queen
of England is the head of state and the Prime Minister of Canada is the head of government.
Canada implements a market economy system in which the prices of goods and services are
determined in a free price system. Canada is a member of the Asia-Pacific Economic
Cooperation (APEC), the North American Free Trade Agreement (NAFTA), and the Trans-
Pacific Partnership (TPP) (globalEDGE, 2022).
4
Course Name : International Economics
Lecturer : Dr. Than Lee Lee
Academic Session : 2022/04
Assessment Title : China and Canada
Submission Due Date : 14.6.2022
Prepared by : Student ID Student Name
CST2004039 Liyau Zheng Wei
IBU2102030 Lau Zi Xuan
IBU2102087 Lee Kui Foung
Date Received :
Feedback from Lecturer:
Mark:
1
, Own Work Declaration
I/We hereby understand my/our work would be checked for plagiarism or other misconduct,
and the softcopy would be saved for future comparison(s).
I/We hereby confirm that all the references or sources of citations have been correctly listed or
presented and I/we clearly understand the serious consequence caused by any intentional or
unintentional misconduct.
This work is not made on any work of other students (past or present), and it has not been
submitted to any other courses or institutions before.
Signature: Liyau, Lau, Lee
Date:14/6/2022
2
,Table of Contents
1.0 Background of China and Canada…………………………………………………………4
2.0 Terms of Trade…………………………………………………………………………….5
3.0 Trade Openness……………………………………………………………………………7
4.0 Manufacturing Value-Added………………………………………………………………9
5.0 Service Value-Added…………………………………………………………………….12
6.0 Effect of Change of Terms of Trade and Trade Openness on Manufacturing Value-Added
and Service Value-Added…………………………………………………………………….14
7.0 Trade policies of China and Canada……………………………………………………...18
8.0 Recommendation…………………………………………………………………………21
9.0 Conclusion……………………………………………………………………………......22
10.0 References………………………………………………………………………………23
11.0 Appendix………………………………………………………………………………..26
3
, 1.0 Background of China and Canada
China is an East Asian country, bordered by the East and South China Seas, and Korea Bay.
14 sovereign states are China’s neighbours. China’s topography is diverse, mostly mountainous,
with plains in the east and deserts in the west. The main rivers flow from west to east, such as
the Yangtze River and the Yellow River. China is a communist country; the president is the
head of state and the prime minister is the head of the government. China has a market-based
system, having changed from a centrally planned system in the 1970s (globalEDGE, 2022).
China is a member of the Asia-Pacific Economic Cooperation (APEC) and the Asia-Pacific
Trade Agreement (APTA) (globalEDGE, 2022).
Since the reform and opening up economy in 1978, China’s GDP has grown by nearly 10%
annually, and more than 800 million people have been lifted out of poverty. China is a
developing country, and the income level is upper middle class. It will be important going
forward that poverty alleviation efforts increasingly shift to address the vulnerabilities faced
by the large number of people still considered poor by the standards of middle-income countries,
including those living in urban areas (Bank, 2022).
Canada is a country in North America that extends from the Atlantic Ocean in the east, to the
Pacific Ocean in the west, and the Arctic Ocean to the north (globalEDGE, 2022). Canada is
on the site of the United States. Canada is mostly plains, while the west is mountainous. Canada
is a parliamentary democracy, a constitutional monarchy, and a federalist country. The Queen
of England is the head of state and the Prime Minister of Canada is the head of government.
Canada implements a market economy system in which the prices of goods and services are
determined in a free price system. Canada is a member of the Asia-Pacific Economic
Cooperation (APEC), the North American Free Trade Agreement (NAFTA), and the Trans-
Pacific Partnership (TPP) (globalEDGE, 2022).
4
