Analysis Of Current International Trade Protection And Trade Disputes, The Status Quo And Implications For China

Ever since the appearing of international trade, there has always been the contradiction between free trade and protected trade in theory field. Though economists and governments all appreciate free trade, the result of the struggle between free trade and protected trade is the generally practiced trade protection policy. Both classical trade protection theories such as List's infant industry argument, Keynes' super protecting trade theory, Prebisch hypothesis, and neo-trade protection theories such as Krugman and Helpman's strategic trade theory provide theoretical ground for this practice and makes trade protection reasonable. Even under the precondition of practicing free trade and realizing the maximum of trade benefits, the unbalance of trade benefit allocation will cause loss to some interest groups who may exert some influence on national policy and force its government to practice trade protectionism.With the process of economical globalization and integration and the increasingly close world trade relations, various governments much more frequently practice all sorts of trade protection policies characterized by U.S'201 iron case with the purpose of protecting related industries and achieving some special effects. Under the current international economical situation, some new features also appear in trade protection policies. Traditional trade protection measures such as tariff have takenless effect than before, some non-tariff measures such as anti-dumpling, technological trade barriers have been employed much more frequently, which cause much more trade conflicts. Besides bilateral negotiation and taking retaliation, more conflicts are solved by WTO and its subsidiaries. WTO has a increasingly important status. Governments more frequently intervene into international trade and the solving of conflicts and the political and diplomatic factors are increasing rapidly. The appearing of these new features makes it more difficult to solve conflicts and promote the development of international trade.Our nation takes a faster pace to open up to the outside world in recent years ,and especially after our entry into WTO, we will be more open and integrate into world economy, which makes it unavoidable to conflict with trade partners. Under current international trade conditions, trade protection is reasonable and necessary and will not disappear in a long time. Therefore, our government and industrial circle should face this reality and carefully research countermeasures and solve trade conflicts, instead of criticizing trade partners and taking passive action.We should face this trade protectionism trend in two aspects. On the one hand, we should make our foreign trade policies and realize the necessity of trade protection as well as make our own trade protection policies and measures so as to build our barriers and protect our domestic market and industries. On the other hand, we should not passively react totrade protection policies and barriers. The quality and competitiveness of our exported products should been improved to break trade barriers. At the same time, our government should actively intervene and force others to reduce trade barriers through political and diplomatic efforts, especially those trade protection policies which are unreasonable and aim at our country. Our government, enterprises and associations should cooperate with on another to face trade conflicts caused by our practice of trade protection policy. Furthermore, we should give the full play to the conflicts solving mechanism of WTO and submit trade conflicts to WTO. To those conflicts which can not been solved by negotiation and arbitrage of WTO, enterprises and associations should ask government to take political and economical measures to retaliate and protect their own benefits.