Application Of Non-Discrimination Rules To Environment-Related Trade Disputes

Entering WTO witnesses the flourishing export and import business of China. With the gradual tariff reduction required by WTO system, other forms of trade barriers began to show up. Many countries make excuses of environmental protection to establish high walls to international trade. The new protectionism is harder to discern and could engender more losses of China's economy. As China rapidly expands its business in international market, being equipped with enough knowledge to avoid and even refute such new protectionism becomes especially important. WTO provides an efficient and effective way to settle environment-related trade disputes which arise from the new protectionism.WTO introduces a structured process with clearly defined stages for dispute settlement. It also sets rules so as to establish a good order within this multinational trading system. Non-discrimination rule is the foundation of WTO system. It is frequently used in solving environment-related trade disputes and it is also the only requirement that GATT imposes on environment-related trade measures. This article tells readers how to judge discriminative treatment that the export products receive in the aspect of environment-related trade measures issued by import countries. Besides, it introduces how to complain to the WTO Dispute Settlement Body."Like products" test is the central issue of this article. It often turns into the focus of environment-related trade disputes. Determination whether a group of products are like products then deserves a detailed discussion in this paper. An overall assessment of the group is employed in the "like products" test.Once the like products conditions are fulfilled, there is an obligation of non-discriminatory treatment. Proper products should be compared for the test of differential treatment. Comparison can be made between one product and anotherproduct, or between one group of products and another groups of products. Either one is acceptable to the Panel and the Appellate Body as long as it is rationale. Finally the treatment of selected like products can be compared. Three aspects of the treatment should be taken into account: geographical distribution of discriminatory effects, the level of differential treatment and the purpose of the differential treatment.When the discriminatory treatment is confirmed, the proper procedure of dispute settlement in WTO should be followed. This article introduces the procedures to follow. Some hints in dispute settlement are given to complainants as well.As a big exporter and a large developing country, China has been frustrated by disturb of green trade barrier. This thesis will be of some help to those who are involved in losses arising from green trade barrier.