Among the contentious issues relating to China's application for membership of the World Trade Organization is its designation as a non-market economy. The first publication of the Chatham House China Task Force, this report addresses various aspects of this issue. David Wall examines the concept of a 'market economy' and, on the basis of fieldwork undertaken in China in 1997, concludes that it is no longer reasonable to treat China as a non-market economy, at least as regards to the application of the EU's antidumping regulations and provide practical advice to countries on ways of defending themselves against dumping accusations. Richard Grant, drawing on a survey of EU businesses, details the problems faced by Western companies attempting to break into the Chinese market.