Openness of agriculture market, trade-induced adjustment cost and China´s agriculture trade policy after WTO

China´s WTO accession has brought concerns over its agricultural sector, where the realization of comparative advantage by free trade will lead to economic efficiency, and at the same time bring sizable trade-induced adjustment cost to the agricultural industry. Adjustment cost could be explained in a certain degree that why countries tend to adopt constrained market liberalization policy, and trade protection in certain industries is necessary. Meanwhile, it provides a new angle in trade negotiation, that it will be easier to arrive at partial and gradual agreement if every partner deduces trade barrier in industries with least adjustment cost. This paper focuses on typical land-intensive products, including wheat, rice, soybean and plant oil and typical labor-intensive products, such as meat products, aquatic products, vegetable and fruits, utilizing trade data from 2001 to 2008 after China´s accession into the WTO. This paper also estimates and makes comparative analysis of adjustment cost and adjustment pressure caused by China´s various agricultural products labor-intensive products, serving as a reference for future market liberalization and protection policy development.