The Role and Impact of China’s Trade Internationalization: A Paradigm Shift in the World Economy

Abstract

In the present era, China has instigated a soft power image to dominate the world (by sweeping the world trade and markets) in contrast to the United States of America (USA) and European Union hard power strategy. This study presents and reviews the growth in China’s trade in the context of the global economy. On the basis of this study, it can be concluded that China has caused a paradigm shift in the global economy through its trade-centered policies. Its dominance is largely attributed to the encouragement of local investors and promoting trade and products through a policy of minimizing barriers to openness. It is also observed that China’s economy has been more stable in the recessionary times and has strong correlation with total world trade import and export volume.