Abstract
By exploring the role of SEZs in China’s integration with the world economy, we also investigate the underlining challenges faced by the economy. The analysis brings forth the indisputable fact that SEZs enabled the Chinese economy to trigger its growth standards and achieve its ambition of integrating with the world economy without compromising its political ideology. This transformation, however, has been accompanied by a few challenges of late that have been posing distractions to the broader process of development. We argue that the experience of Chinese SEZs provides a number of policy directions, which may be followed with discrimination.