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    Trade Aid Cases Involving Developing Countries In China Surged

    2011/8/26 9:11:00 52

    A Surge In Trade Related Relief Cases Involving China

    A surge


    since this year on

    About China

    About 40 cases.


    According to the preliminary statistics of the Ministry of Commerce's public information, up to the beginning of this year, there have been about 40 cases of trade relief involving developing countries from Argentina, Mexico, Brazil, Turkey, India and so on. Among them, about 14 cases have been initiated, including 12 new cases, 12 anti-dumping cases, and 1 countervailing measures.

    Our products include electric fans, electric heaters, stainless steel tableware, seamless steel tubes, steel nails, glyphosate and so on.


    It is worth noting that in April 18th, Brazil launched my plating board.

    Anti-dumping

    The investigation is the second anti-dumping investigation initiated by Brazil this year to me. The amount involved is more than 300 million dollars, which is the largest anti-dumping case against me in the history of Brazil. In May 16th, Brazil launched an anti circumvention investigation on the synthetic fiber blanket from China. This is the first anti circumvention investigation launched by Brazil. In July 12th, Mexico launched an investigation into the "double reverse" investigation of amoxicillin, which was originally produced in China, which was the first "double reverse" investigation of the Chinese products in Latin America.


    One industry insider pointed out to the economic reference daily that these typical cases would produce a bad demonstration effect, causing other developing countries to follow suit.


    In addition to the above cases, some developing countries have also released the signals of protectionist tendencies, and most of them are targeted at Chinese commodities.

    In June 28th, F Orr F, Minister of industry of Argentina, publicly suggested that the common market countries (MERCOSUR) should establish collective foreign trade barriers and restrict the import of Chinese products.

    Previously, the Argentina government had proposed establishing a "United Front" with Brazil to boycott Chinese products to enter the South American market, but did not get the response from the Brazil government.


    The situation from Brazil is also not optimistic.

    Only a week after the draconian regulations were issued to curb Real's appreciation, the Brazil government turned its attention to the import issue.

    Not long ago, the Brazil government said that in the face of the weakening dollar, it is necessary to take more actions to protect domestic industries.

    Brazil has promulgated a wide range of "B IG G E RB R A ZIL" program in Brazil.

    As part of the plan, the government has promised to increase the number of domestic trade investigators to 3 to 120.

    The Brazil government also introduced a tax relief measure worth 25 billion Brazil Real (US $16 billion) to help the badly damaged textile, footwear, furniture and software industries.


    The Ministry of Commerce of Thailand also said that as of June 29th, 3 anti-dumping investigation applications involving Chinese exports were received by Thailand enterprises. The products were aluminum zinc coated steel, zinc coated steel, and motorcycle inner tube.


    difficulty


    It is more difficult to deal with than Europe and America.


    Bai Ming, a researcher at the Ministry of Commerce, said in an interview that the recent increase in trade relief measures for developing countries in China was mainly due to the weak demand in the US and Europe and the unlikely recovery in the short term after the financial crisis. Chinese enterprises adopted the strategy of market diversification, and many of them exported to emerging economies, which made their domestic industry feel more competitive.

    Moreover, trade between China and developed countries is more complementary, while developing countries are more competitive because of their economic development.

    Therefore, with the increase of export volume, the increase of friction is normal.


    In addition, some analysts point out that emerging economies are in the background of the gloomy global economy.

    recovery

    Slow and domestic economic pressure is also an important factor in the protection of domestic trade.


    It is worth noting that trade relief measures from developing countries may be more difficult to cope with in comparison with those in Europe and the United States.

    Insiders pointed out that the European and American market is the main market for China's export products. From the system construction to the procedural performance, they are more standard and strict, and the market order is good, and there are rules to follow. Moreover, the quality of products exported to the European and American markets is relatively high.

    In the emerging market, because the economic development and institutional construction are lagging behind, and at the same time, our enterprises are developing late market, and all aspects are not standardized and mature, so they are not smooth enough in information disclosure, dispute resolution and so on.


    In addition, Latin American countries often use Spanish and Portuguese, with large language barriers and too few domestic talents who are familiar with local language, culture, laws, trade rules and so on.

    And developing countries trade with me.

    relief

    The increase is also a trend in recent years, and experience is relatively small.

    Therefore, dealing with trade frictions from these areas will be very difficult for Chinese government, association, enterprises and lawyers.


    "It is worth noting that in the past, Chinese enterprises tended to embrace the idea of" exporting to the developing countries, exporting and exporting, even if the market was big in Europe and America. "Now, after the financial crisis, the external demand in the US and EU markets is not strong, and emerging markets have become the main driving force of China's export growth. Enterprises find that they do not pay much attention to it.

    The above told the economic reference Daily reporter.


    Since the beginning of this year, China's import and export innovation has mainly come from emerging market countries.

    Customs statistics show that the total import and export volume of China and South Africa increased by 86.6% from 1 to July this year, of which exports grew by 21.5%, imports increased by 138%, and the total volume of imports and exports of Brazil increased by 38.6%, of which, exports grew by 37.8%, imports increased by 39.1%, and the total volume of imports and exports of ASEAN countries increased by 25.5%, of which exports grew 24%, and imports grew by 27%.

    These are all higher than the total growth rate of China's import and export gross.


    This is true from corporate experience.

    Jianghuai Automobile and Chery automobile related responsible persons told the economic reference daily that Brazil is the most important export market of our own brand cars, and they are very concerned about every move in Brazil market.

    Take Jianghuai Automobile [8.58 2.75% shares bar Research Report as an example, from 1 to July this year, 45 thousand and 690 vehicles exported from Jianghuai Automobile increased by 20 thousand to Brazil alone.


    "It is said that Brazil's domestic boycott of Chinese products is getting louder and louder. We are very worried that one day they will levy taxes on our vehicle exports, which will bring great losses to China's own brand cars."

    Chery insiders said.


    To guard against


    Watch out for multinational blockade of our exports


    Experts suggest that the European and American markets, which are involved in the US debt rating and the European debt crisis, may again surge in trade protectionism, coupled with increased trade remedy measures in emerging economies, and must be vigilant against the fact that many countries are blocking our exports.


    Li Jian, a researcher at the Ministry of Commerce Research Institute, told the economic reference daily that IM F had lowered the forecast value of global economic growth in 2011 again in June.

    WT O predicts that global trade growth will slow sharply to 6.5% this year from 14.5% in 2010.

    For the second half of the world economic and trade situation needs careful observation, is not sure yet will fall into another recession, but the risk of downside seems to be bigger and bigger.


    The slowdown in global economic growth will greatly catalyze the release of protectionist sentiment.

    Affected by the debt crisis in the US and Europe, countries around the world will pay more attention to easing domestic pressure through exports, and the tendency of economic and trade policies to take care of themselves is obvious.

    Li Wenpu, vice president of the school of economics, Xiamen University, said that in order to protect its own economy, the US trade protectionism will rise in the future, and China's exports will be interfered by means of increasing taxes and trade barriers to suppress Chinese export enterprises.

    Therefore, the frequency of China's enterprises encountering trade friction will be higher in the future.


    Europe, which is enveloped in the cloud of sovereign debt crisis, is also beginning to lift trade protectionist sticks.

    This year, the European economy has been gradually pushed into the cold abyss by the European debt crisis. However, the trade between China and Europe has increased rapidly. With the competitive advantage of labor costs and so on, China has exported more and more commodities, but the EU has also resisted more and more.

    "This year, a series of moves from the European Union have released a signal that its trade policy towards China is becoming harder and harder. Under the pressure of debt, the EU is likely to rise to a wave of trade protection."

    Bai Ming told the economic reference daily.


    Experts said that dealing with trade frictions from developing countries is necessary to establish and improve inter governmental trade remedy cooperation mechanism.

    For example, in March of this year, the Ministry of industry of Argentina made a final decision on the anti-dumping investigation of plastic injectors originating in China, accepted the price commitment scheme of respondent enterprises, and executed the minimum price of FO B (shipped on board) on the basis of different product specifications, ranging from 0.0179 to 0.4629 dollars per piece.

    This is the first price commitment I made with Argentina and even Latin America as a whole through the promotion of industry dialogue.

    This not only guaranteed my share of the syringe market in Argentina, but also promoted the healthy development of export business order.

    This is the positive result of many consultations between governments.


    The active linkage of the government, associations and enterprises is also an important guarantee for resolving differences in friction.

    The enterprises involved should actively respond to the lawsuit, and the relevant chambers of Commerce for import and export actively participate in guiding the enterprises to respond to complaints and communicate with foreign prosecution parties. The government authorities attach great importance to the demands of the industry, negotiate with foreign governments, and safeguard the interests of enterprises.

    In addition, under the existing mechanism, there is more room for solving trade disputes through industry cooperation.


    Bai Ming believes that in the process of dealing with trade frictions from emerging economies, there may be some new problems that are not experienced or have not been encountered before. Whether the government, associations or enterprises should pay attention to and accumulate experience from the very beginning, Chinese enterprises should enhance their competitiveness and pursue differentiated competition, and stagger the market structure of emerging economies as far as enterprises are concerned.

    In addition, the proportion and depth of cooperation should also be increased.


     
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