美国贸易代表办公室-中国履行加入世贸组织承诺情况报告（英文）-2019.2-183页_3mb

2018 Report to Congress on China's WTO Compliance Summary

Core Content

The 2018 U.S. Trade Representative (USTR) Report to Congress on China's WTO Compliance is a comprehensive assessment of China's adherence to WTO rules and its broader impact on the global trading system. The report is structured into two main parts: the first evaluates China's overall WTO membership and its economic and trade practices, while the second provides a detailed analysis of China's trade regime in various sectors.

Main Points

Part 1: U.S. Assessment of China's WTO Membership

• WTO Membership Expectations: The founding members of the WTO emphasized open, market-oriented policies based on non-discrimination, market access, reciprocity, fairness, and transparency. China joined the WTO in 2001 with commitments to adopt such policies.

• China's Non-market Economic System: Despite its WTO accession, China has retained its state-led, mercantilist trade approach. It continues to implement industrial policies that distort global markets and harm U.S. companies and workers.

• Compliance Record: China's compliance with WTO rules has been poor. It has not fully internalized the open-market norms of the WTO community and has not met its commitments.

• Impact on WTO Members: China's trade regime imposes substantial costs on other WTO members, particularly in sectors like steel, aluminum, and emerging industries. These practices include forced technology transfer, export and import substitution subsidies, and non-tariff barriers.

• U.S. Efforts to Address Issues:

  • Bilateral Engagement: The U.S. has engaged in bilateral negotiations with China to address trade distortions.
  • WTO Dispute Settlement: The U.S. has used WTO dispute mechanisms to challenge China's unfair trade practices.
  • New WTO Rules: The U.S. has supported the development of new WTO rules to address these issues.
  • Effective Strategies: The U.S. has pursued strategies outside the WTO, including domestic trade remedies and strategic partnerships with like-minded countries.

Part 2: Detailed Analysis of China's Trade Regime

• WTO Accession and Commitments: China's WTO accession protocol included commitments to reform its economy and trade policies. However, these commitments have not been fulfilled.

• Key Concerns:

  • Industrial Policies: China's industrial policies have been used to distort markets and provide unfair advantages to domestic industries.
  • Intellectual Property Rights (IPR): China has failed to adequately enforce IPR, particularly in the copyright and technology licensing areas.
  • Services: China has imposed restrictions on foreign participation in financial and telecommunications services, and on electronic payment services.
  • Agriculture: China has used export and import substitution subsidies in agriculture, and its regulatory processes for agricultural biotechnology are slow and not science-based.
  • Transparency: China's regulatory system is opaque, and its transparency obligations under WTO rules have been poorly adhered to.

• U.S. Engagement:

  • Bilateral Engagement: The U.S. has engaged in bilateral discussions with China to address specific trade issues.
  • Multilateral Meetings: The U.S. has participated in multilateral meetings to coordinate with other WTO members.
  • Enforcement: The U.S. has enforced its trade remedy laws against China's non-market policies.

• China's WTO Compliance:

  • Import Regulation: China's import regulations include non-tariff measures, tariff-rate quotas, and export restraints that distort trade.
  • Antidumping and Countervailing Duties: China's use of these measures has been criticized as discriminatory and harmful to foreign companies.
  • Export Regulation: China has implemented export restraints that provide cost advantages to domestic producers.
  • Internal Policies Affecting Trade: These include state-owned enterprises, government procurement, and price controls, which are inconsistent with WTO principles.
  • Regulatory Reforms: China has made some reforms, but they are not sufficient to address the systemic issues affecting trade.
  • Standards and Technical Regulations: China's standards and conformity assessment procedures are not transparent and often favor domestic industries.
  • Transparency: China's lack of transparency has created trade barriers and undermined the competitiveness of its trading partners.

Key Information

• Forced Technology Transfer: China continues to force U.S. companies to transfer technology through market access restrictions, administrative processes, and cyber and physical theft.

• Electronic Payment Services: Despite a 2006 commitment to open the market, no foreign electronic payment services companies operate in China.

• Subsidies: China has used export and import substitution subsidies in various sectors, including automobiles, textiles, and agriculture, despite WTO prohibitions.

• Agricultural Biotechnology: China's regulatory process for agricultural biotechnology is slow and not science-based, while domestic companies build their capabilities.

• Export Restraints: China has implemented illegal export restraints such as export quotas and duties, which provide cost advantages to domestic producers.

• Market Distortions: China's state-led, mercantilist approach has systematically distorted global markets and harmed U.S. companies and workers.

• U.S. Response:

  • Section 301 Investigation: The U.S. conducted an investigation into China's forced technology transfer and imposed duties on $250 billion in imports.
  • Dispute Settlement: The U.S. initiated WTO dispute settlement challenges against China's discriminatory technology licensing regulations.
  • FIRRMA Implementation: The U.S. implemented the Foreign Investment Risk Review Modernization Act of 2018 to protect American technology and intellectual property.
  • Cyber and Physical Theft: The U.S. brought indictments against individuals involved in cyber and physical theft of trade secrets for China.
  • Strategic Partnerships: The U.S. is working with the EU and Japan in a trilateral partnership to address systemic trade distortions.

Conclusion

The report emphasizes that the U.S. approach to China's WTO compliance is more aggressive than in the past, reflecting the severity of the challenges posed by China's non-market economic system. The U.S. seeks a fair, reciprocal, and balanced trade relationship with China and is committed to defending U.S. companies and workers from unfair practices. The report concludes that market-based reforms in China will benefit not only the U.S. and its trading partners but also China itself by promoting a more sustainable and competitive economy.