Given its size, the pace of its expansion, and its outward orientation, China is likely to have a growing impact on the global trading system and its policies are likely to have an important influence on the system's evolution.

In this paper we explore a proposal to backload the phase-in of MFN tariff reductions in sensitive sectors and use the revenues generated to provide compensation for preference erosion. We argue that the approach would be both equitable and effective.

In this paper we explore a proposal to backload the phase-in of MFN tariff reductions in sensitive sectors and use the revenues generated to provide compensation for preference erosion. We argue that the approach would be both equitable and effective.

Given its size, the pace of its expansion, and its outward orientation, China is likely to have a growing impact on the global trading system and its policies are likely to have an important influence on the system's evolution.