Issue Of "Non-market Economy " In American Domestic Antidumping Laws

China has encountered more and more antidumping investigations in recent years. Because U.S. is a major trade partner of us, the problem about "non-market economy " in her domestic antidumping laws is worth our in-depth study. This paper consists of five parts, including introduction, three main chapters, and conclusion.In chapter one, I analyze the definition of "non-market economy " in American antidumping laws: if a country does not run under the market rule of cost or price, and its products' domestic prices do not reflect their normal prices, this country is called a "non-market economy ".American department of commercial should consider six aspects when it decides whether a country is a "non-market economy " or not.1. Convertibility of this country's currency;2. Permission degree of negotiating wage rate between labor and capital;3. Permission degree of foreign direct investment and other forms of investment;4. Government's control and possession degree of enterprises;5. Other factors should be taken into account by department of commercial.If all the answers are positive, this country is considered as a "non-market economy ". But all this standards are too abstract and vague.Concerning products from the "non-market economy", the NME Factor Valuation should decide their normal prices. It means that: department of commercial will choose a market-economy country and use factors' value, general expenses and other expenses of that country to calculate the normal value. In addition to this, there are other regulations, like market-oriented test, quantity limit agreement, and separate rates.In chapter two, I criticize U.S.'s legislation and practice about antidumping procedure. After studying Chinese economy, I come to the conclusion that the label of "non-market economy " no longer fits Chinese conditions. (1) We have made great progress in the foreign exchange administration system;(2) after the pass of "Labor Law", labor and capital could negotiate wage rate freely, which reflects the market value of labor;(3) we have absorbed a great number of foreign investment and ranked first in developing countries;(4) the proportion of state-owned-enterprises has dropped significantly;(5) after the reform of price system, proportion of retail pricesdecided by government has dropped to 5%; proportion of factor prices decided by government has dropped to 15%;(6)China has processed reform on foreign trade administration system and established new-style administration system according to the rule of socialistic market economy.So, we could find that the operation of U.S. does not care about the objective economic standards, but the political and economic interest. Its essence is the prejudice and discrimination to socialist economies.In chapter three, I put forward some measures. First we should make full use of the dispute settlement mechanism of WTO, and strengthen the communication between governments so that western countries will change their minds and no longer consider us as "non-market economy ". Second, we should continue the reform of socialistic market economy, including the financial system, investment administration, etc. Based on a mass of research fruit in this field, I make some innovations as follows:(1) I conduct a thorough and systematic analysis on U.S.'s domestic laws about the "non-market economy ";(2) I study China's real economic and legal conditions exactly according to those standards of American department of commercial;(3) After affirming the fruit of our great reform, some measures are brought forward. On the aspect of government, they should continue the reform on the infrastructure. On the aspect of enterprises, they should actively respond to the antidumping investigation and implement government's regulations. In conclusion, we should make greater effort on reform and strive for the success on future antidumping cases.