China will firmly protect its legitimate interests and multilateral trade system * somalia, World News and Opinion.
Mareeg Media

China will firmly protect its legitimate interests and multilateral trade system

By Gao years have passed since China officially joined the WTO on December 11, 2001. Over the years, China, as the biggest developing country in the world, has been committed to liberalization and facilitation of global trade and investment and engaging in economic globalization. China also participated in, protected and contributed to the multilateral trade system by observing WTO rules and fulfilling its promises and responsibilities.

After the outbreak of the global financial crisis, China continued its efforts on multilateral trade rules. When the Doha Round met with impasse, China, at both ministerial meetings in Bali and Nairobi, played a leading role as a responsible major trading country, in a bid to help the WTO move forward, bolster global prosperity and boost multilateral trade system.

Since WTO acts as a rule-based multilateral trading system, its rules must be observed to ensure an orderly and sustained development of international trade and investment.

Over the years, an effective observation of multilateral trade system and rules, one of the three pillars of the world economic system, has laid a foundation for global economic prosperity and played an irreplaceable part in world peace and stability. The WTO rules are now an integral part of international law.

The basic principles of international law call for each party to abide by the obligations stated in the treaties. As a constituent part of “WTO agreement”, the Article 15 of the Protocol on the Accession of the People’s Republic of China to the WTO stipulates that the “surrogate country approach” used by member countries to calculate anti-dumping measures against Chinese exports will expire 15 years after the date of accession.

The provision means that starting from December 11, 2016, any future anti-dumping cases against China should make comparison with prices or costs in China.

Since this obligation has been written into the international treaty, each WTO member should fulfill it without doubt by abolishing the “surrogate country system” as scheduled. China’s legitimate interests should be duly protected.

There is an old saying in China that “promises must be kept and actions must be resolute”. The spirit of contract is the foundation of market economy while commitment to fulfill promises is the basic principle of international law.

It is the shared obligation and common interest of each member state to honor the terms in the protocol and maintain the authority of the multilateral trading system.

Most of the WTO members have fulfilled their obligations stipulated under the Article 15 in the protocol ahead or on schedule by terminating the “surrogate country system” against China. But a few have refused to do so. They even tried to obscure the term “market economy” with their domestic logic, or cite overcapacity in some industries as an excuse for delay.

The WTO rules, as a matter of fact, did not provide detailed definition of “market economy”. The so-called standard of “market economy” was actually created during the Cold War, and only a few of the 164 WTO members have adopted such standards in their internal laws.

As for the overcapacity issue, it is a problem faced by, and should be solved by, all countries in the world. They cannot use such excuses to postpone the fulfillment of their obligations.

China firmly opposes such misinterpretation of WTO rules and multilateral trading system. China urges each party to keep their words, observe international law and fulfill their international obligations.

As for those who refuse to keep their promises, China will adamantly protect its legitimate interests and reserve the right to take further measures. China will join hands with most of the member states to protect the solemnness of multilateral trading system.

In light of risks and challenges confronting current world economy, Chinese President Xi Jinping, at the G20 Summit held in September, called on each side to work in the spirit of partnership to promote mutual help and win-win cooperation and concentrate mind and energy to pursue strong, sustainable, balanced and inclusive growth.

Today’s world is trapped in increasing uncertainties brought by a lack of recovery momentum, gloomy trade and investment environment as well as setbacks to economic globalization, but it is at such difficult times that WTO members need to have more cooperation to defend the effectiveness of the multilateral trading system.

China is willing to hold hands with other countries in order to combat protectionism, maintain the multilateral trading system, reinstate the driving role of trade and investment in economy, thus building a more energetic, inclusive, sustainable and open world economy.

(The author is China’s Commerce Minister)

(Source: People’s Daily)

Get real time updates directly on you device, subscribe now.

  1. JTS says

    “China is willing to hold hands with other countries in order to combat protectionism”.

    Since China engages in so much well-documented protectionism, this is laughable.

    From ustr[DOT]gov/sites/default/files/2015-Report-to-Congress-China-WTO-Compliance.pdf

    “Many of the problems that arise in the U.S. -China trade and investment relationship can be traced to the Chinese government’s interventionist policies and practices and the large role of state -owned enterprises and other national champions in China’s economy, which continue to generate significant trade distortions that inevitably give rise to trade frictions”

    “inadequacies in China’s IPR protection and enforcement regime continue to present serious barriers to U.S. exports and investment. China was again placed on the Priority Watch List in USTR’s 2015 Special 301 report .”

    “The protection and enforcement of trade secrets in China is a serious problem that has attained a higher profile in recent years. Thefts of trade secrets that benefit Chinese companies have occurred both within China and outside of China. Offenders in many cases continue to operate with impunity. Most troubling are reports that actors affiliated with the Chinese government and the Chines e military have infiltrated the computer systems of U.S. companies, stealing terabytes of data, including the companies’ intellectual property (IP), for the purpose of providing commercial advantages to Chinese enterprises.”

    These are just a few injustices. The report lists China’s trade abuses at length. There is an ancient saying in America: do unto others you would have done unto yourself. In other words, treat others as you yourself would like to be treated. Perhaps it is time for China to be treated as it treats America, with respect to trade. There is another more recent American saying: with friends like that [China], who needs enemies?

  2. JTS says

Comments are closed.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More somalia, World News and Opinion.