China shines on opening up, as world openness level degrades

SHANGHAI -- The World Openness Index, gauging the openness levels of 129 economies from 2008 to 2023, shows that China remains one of the bright spots in a globally declining landscape of openness.

The index was included in the World Openness Report 2024, which was released on Tuesday at the seventh Hongqiao International Economic Forum in Shanghai.

In 2023, the World Openness Index stood at 0.7542, reflecting decreases of 0.12 percent compared to 2022, 0.38 percent compared to 2019, and 5.43 percent compared to 2008. This suggests an overall downward trend in global openness.

The index, first released in 2021, was compiled by the Institute of World Economics and Politics under the Chinese Academy of Social Sciences (CASS) and the Research Center for Hongqiao International Economic Forum.

According to the report, the pace of economic globalization has continued to falter over the past year, with the world's opening-up level "in deficit".

"Various forms of unilateralism and protectionism are on the rise, global economic growth is slowing down, many economies are increasing tariffs and non-tariff measures, geopolitical risks are intensifying, and combined with shocks such as the COVID-19 pandemic," the report said, listing the major factors contributing to a less open global economy.

Zhang Yuyan, an economist and academician of CASS, said that the number of global trade intervention measures exceeded 4,700 from 2020 to 2023, significantly higher than the levels before 2020.

Economic sanctions are working against opening, imposing a negative impact on globalization, said Nobel laureate economist Christopher Pissarides at a symposium after the release of the report. "I hope they end soon, but I don't quite see it," he added.

Despite these challenges, China is presented as one of the positive exceptions in the global landscape of openness, based on the data revealed by the report.

China has made significant progress in expanding its opening-up. From 2008 to 2023, China's openness index rose from 0.6789 to 0.7596, an increase of 11.89 percent, placing it among the top economies globally in terms of growth rate.

"China's opening up is a model for mutually beneficial engagement. In the current complex and ever-changing international landscape, events like the China International Import Expo (CIIE) have become shining symbols of China's commitment to opening up," said Qu Weixi, director of the Research Center for Hongqiao International Economic Forum.

The report also underscores key areas of global cooperation that have emerged despite rising anti-globalization sentiment.

Digital opening-up, environmental and climate governance, and the service sector are identified by the report as significant areas where international collaboration has gained momentum.

These sectors present new opportunities for global growth and suggest the potential for a more interconnected and cooperative world economy in the face of rising protectionism, according to the report.

"We hope the release of this report will spark more in-depth and widespread discussions about global openness. By fostering greater consensus and collective efforts, we can contribute to the development of an open global economy," Qu said.