China and the G-21: A New North-South Divide in the WTO After Cancún?

The paper analyses the interests of China as a member of the G-21, which contributed to the failure of the WTO Ministerial Conference in Cancún/Mexico in September 2003. It concludes that the median member of G-21 is more inward-looking and less reform-minded than China. A failure of the Doha Round due to a North-South divide between the US/EU on the one hand and the G-21 on the other hand would cause more harm to the latter than to the former group and would also impact negatively upon China, which has fewer alternatives to a multilateral round than both most of the other G-21 members and the two big players. Thus, China would be well-advised to remain unconstrained in its trade policies and does not become member of any group.