China-EU_Relations_Reassessing_the_China-EU_Comprehensive_Strategic_Partnership

(John Hannent) #1

6.3.2 Review of the EU’s Trade Policy


As China and the EU acceded to the WTO at different times, so far China has
undergone only four reviews, while the EU has experienced eight reviews. The EU
went through four reviews in 1995, 1997, 2000 and 2002 before 2003. China
participated in the lastfive reviews.


6.3.2.1 China’s Main Concerns


China’s most important concern about the EU’s trade policy and practice regards
two aspects.^21 First, the EU is one of the members most frequently applying trade
remedy measures in the WTO, especially antidumping measures. China is the
hardest-hit victim on this aspect. China became the major target of the EU’s
antidumping as from 1991; according to 2011 statistical data, 45 % of the EU’s
current measures were directed at China.^22 In antidumping, the EU irrationally
chose a surrogate country (even the USA and Japan), determined inappropriate
dumping margins and did not disclose important information, etc. Second, the EU
developed non-tariff barriers. The EU adopted a large number of technical speci-
fications through secondary legislation and put many TBT and SPS measures into
practice, thus severely hindering the entry of Chinese products into the EU market
and their sales on the EU market. For example, theRegulation on Registration,
Evaluation, Authorization and Restriction of Chemicals(REACH), which became
effective as of 2007, exerts a great negative impact on China.
China clearly specified the issue concerning non-market economy treatment only
in its 2004 review and hoped that the EU could address this issue as early as
possible. It is shown that China at least does not believe that the WTO as a
multilateral platform is the most suitable place for discussing this issue, or pays less
attention to the impact of this issue on bilateral trade relations.


6.3.2.2 China’s Overall Evaluation of the EU


China has always positively evaluated the EU’s status and roles in the multilateral
trade system, its roles in the WTO and its development of bilateral trade relations;
when it comes to the EU’s trade policy and practice, China has only expressed its
own main concerns most of the time.


(^21) Other main concerns included the EU’s maintenance of lots of subsidies and high tariffs for
agricultural products, entry of China’s poultry meat and Chinese herbal medicine into the EU
market, the EU’s tariff structure, customs procedure, government procurement, investment barri-
ers, market access for trade in services and transparency, etc.
(^22) Thefirst antidumping investigation against Chinese products in foreign countries was launched
by the European Community in August, 1979.
132 L. Heng

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