The Legal Problems Of Subsidies And Countervailing Measures In International Trade

The earliest subsidies behavior dated back to the mercantilist period, but countervailing work carried out after the Second World War. But the international community really incorporated subsidies and countervailing into the scope of legal norms adjust is in 1947 "General Agreement on Tariffs and Trade". Therefore, before analysis the legal evolution of subsidies and countervailing, we need to first understand the origin of subsidies and countervailing. Subsidies and countervailing rules initially only individual terms in the "General Agreement on Tariffs and Trade", but most rules are principles and lack of actual content and operating specifications. Subsidies and countervailing rules are constantly revised and improved, and developed to WTO. Compared with GATT regulations, SCM is more detailed and stronger operational.In free trade theory, through economic model to analysis the subsidies and countervailing economic effect, we can see that subsidies will product negative national welfare and distort international trade order, so subsidies are not reasonable. But based on its dynamic world trade interests, training and support its strategic industry, economic development and dynamic structure and industry competitiveness, more and more countries widespread adoption of subsidies. Subsidies and countervailing inheritance its country's industrial protection and suppuration. Therefore, the existence of subsidies and countervailing measure is rationality and necessity.From subsidies and countervailing current situation and perspective in China, subsidies also exist many problems, for example, within certain limits also exist prohibited subsidies; actionable subsidies on standard are not reasonable enough; non-actionable subsidies on the use of terms is not adequate. In the anti-subsidy, countervailing legislation system has been established. But due to the economic growth rapidly and the developed countries'domestic political, we suffered more countervailing. The following factors:the uncertainty of importing country changes it domestic anti-subsidy law, privatization of state-owned enterprises, and determine the subsidy rate of the importing country when the government's arbitrary selection of data is China suffered a potential countervailing factors. This also makes our country facing a very serious countervailing situation. In the WTO framework, we have to perfect "Countervailing Regulations", strengthen domestic anti-circumvention legislation and actively promote the Agreement on Subsidies and Countervailing up in international negotiations. Meanwhile, we should give full play to the government, industry associations and enterprise the positive role, form the government, industry associations and enterprises mechanisms, to jointly respond to anti-subsidy.