Study On The Compliance Of Chinese Export Credit

Export credit, as a kind of financial policy tool, plays an important role inpromoting China’s export trade and national economy. However, export credit isconstrained by WTO rules particularly rules of "Agreement on Subsidies andCountervailing Measures"(ASCM). The implementation of export credits may beconsidered as a prohibited subsidy or actionable subsidy which caused thecountervailing investigation.The article first defines the basic concepts of export credit, then explains andanalyzes the related theories of export credit compliance, followed by discussing thestatus of Chinese export credit, then the paper begins to intensively study thecompliance of export credit including the provider, the method, the result and thetarget of the compliance. After the theoretical analysis, the article introduces thelimited rational game model, analyses the choices among foreign government, relatedproducts manufacturers,Chinese government, and exporters. Empirically figures outreasons that Chinese export credit suffered countervailing investigation and thetendency of exporters’ responding. Furthermore, Chinese export credit should becompliancy and active responding measures should be taken once sufferedcountervailing investigation are proposed. In the end comes the correspondingsuggestions, these are respecting the international rules, the which is the premise ofexport credit compliance, fully considering the reasonable interests of our country,this is the standpoint of export credit and the most important, actively participating theformulation and management global export credit rules.