Chinese views on modern Marco Polos: New foreign trade amendments after WTO accession

• Main Author: WANG, Heng
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2006
• Subjects: China; World Trade Organization; trade policy; trade regulation; Asian Studies; International Trade Law
• Online Access: https://ink.library.smu.edu.sg/sol_research/4471; https://ink.library.smu.edu.sg/context/sol_research/article/6429/viewcontent/ssrn_1086158_pv.pdf
• Institution: Singapore Management University

Since China’s accession to the World Trade Organization (WTO) at the end of 2001, it has made substantial, even heroic, efforts to change its laws and regulations. WTO accession has brought not only amendments to formal written laws, but greater transparency in government administration, enhanced opportunities for Chinese entrepreneurs, and more equal treatment between foreign and domestic business organizations. One crucial step forward is the Duiwai Maoyi Fa 2004 [Foreign Trade Act 2004] (“FTA 2004”), which amended the Duiwai Maoyi Fa 1994 [Foreign Trade Act 1994] (“FTA 1994”). With just over one year’s experience operating under this new foreign trade regime, a detailed consideration of its strengths and weaknesses is needed. The issues to be considered in this article include the nature of the changes made by the 2004 amendments, the sufficiency of these changes, what the changes mean for the future of China’s foreign trade regime, and the challenges China will face in the new century. Following an overview of the history of China’s foreign trade regime, the article examines the positive changes made in the 2004 amendments to the FTA 1994. The article will then analyze several areas which have not been addressed sufficiently in the FTA 2004 amendments. To further analyze the post-WTO-accession foreign trade regulation of China, the author examines the most recent and sensitive 2005 Interim Textile Exportation Regulation as an illustration of China’s efforts to regulate specific industries. Finally, based on the previous analysis of China’s trade laws in general (FTA) and in specific (Interim Textile Exportation Regulation), the Article will assess the larger legal challenges facing China as it moves toward a market economy, which will likely impact China’s trade policy in the future.