Monday, 23 November 2009

Zaobao interview on the APEC

I was interviewed in the Lianhe Zaobao, the leading Chinese newspaper in Singapore on the implications of the 2009 APEC Leaders' Declaration in Singapore. The story is reproduced below. You may scroll down for the whole story and an English translation of the article.

My Interview on APEC 2009 in Lianhe Zaobao (Singapore)

LHZB_20091122_GAO-APEC

Thursday, 19 November 2009

Soros lectures

http://www.ft.com/cms/s/668e074a-bf24-11de-a696-00144feab49a.html

Monday, 9 November 2009

Formal ECFA negotiations taking-off?

Eight months ago, I blogged about the proposed ECFA between China and Taiwan. Now it seems that the formal negotiations will finally take off as the researchers from both sides have finished and exchanged the results of their feasibility studies. My take is that the agreement probably will be reached the latest by early 2013, as Hu, who will step down as China's president, will probably want the historical agreement as one of his main legacies (Ma will also probably try to get it done by mid-2012 but he probably will get a second term in the office). 


两岸研究部门就两岸经济合作协议在京进行沟通

2009-11-07 09:43 文章来源:商务部新闻办公室
文章类型:原创 内容分类:新闻

  11月6日,商务部台港澳司负责人就两岸研究部门关于两岸经济合作协议在京进行沟通情况接受《国际商报》记者采访时表示,两岸经济交流与合作目前已达到相当的规模,如进一步就两岸经济合作与发展签署协议,将有力促进两岸经贸合作及各自经济发展,也会对亚洲甚至全球的经济发展有所助益。

  今年以来,两岸各自就此进行了前期准备。目前双方有关研究机构均已完成两岸经济合作协议的可行性研究,并进行了多次的非正式意见交换。11月5日,两岸有关研究机构在北京再次就两岸经济合作协议的相关研究内容进行了沟通。双方就各自研究报告的模型设定、前提假设、各种模拟情形对两岸经济和产业发展的影响,及对协议框架、早期收获的构想和关切事项进一步交换了意见。

  在广泛交换意见后,双方研究机构已形成了初步的共同结论和建议,并希望得到进一步确认和完善。至此,两岸专家学者的研究工作基本结束,两岸专家学者共同研究的结论和建议,可以为两岸正式协商提供决策参考。

The road to free trade: 400th accident missed (or settled?)

The WTO recently issued a press release o celebrate the 400th dispute passing through the gate of centre william rappard. DG Lamy noted that "this is surely a vote of confidence in a system which many consider to be a role model for the peaceful resolution of disputes in other areas of international political or economic relations".  While that may well be the case, one may also argue that had Members really had such confidence in the system, they wouldn't have brought so many disputes in the first place. Another thing worth noting is that the number of disputes have greatly decreased after the first decade, which saw an average of 30 cases brought every year. Does this mean that the system has worked so well in deterring trade disputes from arising in the first place, or that people are losing confidence in the system so that they resort to other means and don't bother to bring cases anymore?

Friday, 6 November 2009

déjà vu: The case on coke and other raw materials

The US, EU and Mexico have requested for the establishment of panel against China's restrictions on certain minerals and other raw materials. One of the items at issue is coke, on which I wrote a paper analyzing another similar complaint against China by the EU a few years ago. The paper could be downloaded free of charge here (of particular relevance are pages 334-348). 

Some key points I made in the paper:
1. Contrary to popular belief, the WTO does not just regulates imports. It also regulates exports;
2. In general, quantitative restrictions (on both imports and exports) are per se illegal in the WTO;
3. However, there are exceptions that the country imposing the restriction could invoke to justify its restrictions;
4. But the country would have to meet stringent requirements in justifying that the measure is necessary, and doesn't constitute unjustifiable or arbitrary discriminations, or is otherwise just protectionism in disguise.

Thursday, 29 October 2009

Two conferences

I will be speaking at two conferences next week. The first is the Asia-Pacific Trade Economists' Conference on Trade-Led Growth in Times of Crisis. Held in Bangkok, this conference is organized by the Asia-Pacific Research and Training Network on Trade (ARTNeT) in collaboration with the WTO, UNCTAD, UNDP and IDRC. The conference will also mark the celebration for the fifth anniversary of the ARTNeT, a research network sponsored by the United Nations Economic and Social Commission for Asia and the Pacific (ESCAP). Some of the leading trade economists, including Alan Deardorff, Patrick Low, Simon Evenett, Kym Andersen, Patrick Messerlin, KC Fung, and Robert Scollay will be speaking in the conference. As probably the only lawyer among the speakers, I will be presenting my paper on the Trans-Pacific Partnership Agreement (also known as the P4 Agreement).  The Conference brochure is here and the program can be found here. 


The second is a conference on "DSU Reform and Beyond - Enhancing Developing Countries' Capacity to Participate in WTO DSU Proceedings"organized by the ICTSD in Geneva. I will be speaking on the Trade Barrier Investigation mechanism of China.  The agenda can be found here.

Sunday, 18 October 2009

Recent MOFCOM statement on protectionism


商务部召开例行新闻发布会(10月15日)

2009-10-15 15:57 文章来源:商务部新闻办公室
文章类型:原创 内容分类:新闻

  2009年10月15日,商务部召开例行新闻发布会,新闻发言人姚坚发布新闻并回答记者提问。实录如下:

  姚坚:欢迎大家出席今天的例行发布会。首先,向各位通报今年1-9月份商务工作有关情况。

北京电视台记者:最近,我们发现无缝钢管和皮鞋受到国外的反倾销调查,还有玻璃和纺织行业有可能遭遇反倾销调查,请问您怎么看待目前我们国家对外贸易中面对越来越多产品被国外反倾销调查的情况?第二,请问我们对尼龙66切片进行的反倾销调查是不是属于贸易保护?
  姚坚:第一个问题关于目前我们遇到的一些贸易摩擦和贸易纠纷的问题。我们注意到了自去年下半年以来,由于全球经济不景气,有些国家没有在自身内部寻找政策解决的方案,而是更多地对于别的国家进口产品提出了要求,甚至是保护主义的措施,这个现象在今年以来确实比较突出。今年前三个季度,从我们商务部公平贸易局的资料来看,一共有19个国家和地区对于中国产品发起了88起贸易救济的调查,包括57起的反倾销、9起的反补贴,总金额大概有102亿美元的规模。对于当前出现的这些贸易保护主义、贸易救济的措施,我们认为,在当前应对金融危机的背景下,各国应当首先加强合作,按照G20峰会的要求,共同协调政策、共克时艰,慎重出台贸易救济措施,坚决不出台贸易保护主义的措施。事实证明,滥用救济措施只能使已经恶化的贸易环境进一步加剧,无助于各国协调政策,走出金融危机的阴影。
  对于一些明显的保护主义措施的案例,我们坚决反对,同时我们也将一些案例诉诸了世贸。比如美国到目前为止,今年以来一共对中国采取了贸易救济的调查达到16起,而且多个产品都是反倾销、反补贴合并调查。美国一方面不承认中国的市场经济地位,在反倾销的调查、倾销幅度测算和倾销关税计算中寻找替代国,在这样情况下,另一方面又对中国实施反补贴的调查,这是双重歧视,完全没有道理的。今年以来,我们遭遇的贸易救济措施涉案金额102亿,美国也占了相当大的比例达到57%。美国是金融危机的始发地,其经济总量远远超过发展中国家,是头号的经济强国,而中国是110位左右的发展中国家,美国采取这些措施,无论是从技术上,还是其应当承担的责任上都是没有道理的。
  当然我们应该辩证客观的看待贸易摩擦,大家知道在30年前我们只占全球贸易非常小的规模,今天随着我们国力进一步增强,我们已经是全国第三大贸易体、第二大出口国。今年以来我们出口额已8400多亿美元的出口额,我们产品遇到的一些问题也是许多发达国家在国际化过程中遇到的问题,所以我们需要冷静、客观地看待问题。同时,我们也希望这些应对贸易摩擦的过程是中国产业进步的过程,是中国企业在国际化的过程中进一步提升自己的产品档次、竞争力、品牌,完善销售网络,通过产品"走出去"进一步使中国的销售网络、品牌、设计、人员,甚至文化和公共关系"走出去"。
  关于尼龙66的问题,这是一个反倾销的案件,是我们依据业界的申请进行了慎重的技术评估作出的一个公告。

Friday, 16 October 2009

The Monkey Business on Trade and Climate Change

A very colorful statement by Dr. Zhang Xiangchen, current DPR of China
to the WTO. If only every statement in the WTO meetings were so
interesting, then my days at the Secretariat would have been much less
boring!

张向晨公使在WTO贸易与环境委员会上的发言

2009-07-14 16:04 文章来源:商务部世贸司
文章类型:原创 内容分类:新闻

Statement on Trade and Climate Change at the CTE Regular Meeting
Dr. ZHANG Xiangchen, DPR of China
10 July 2009

Thank you, Mr. Chairman. On 26 June, the WTO Secretariat and the UNEP
jointly released a Trade and Climate Change Report. I would like to
take this opportunity to make some comments on that report. Since it
is almost impossible not to mention the Bali Action Plan these days
when climate change is at question, please allow me to start by
sharing with you my personal experience with the beautiful Island of
Bali.

Last month, I went to Bali to attend the Cairns Group Trade Ministers
Meeting as an observer. One evening, I took a walk at the top of a
mountain with my colleague. The view was fantastic, with the sunset,
the wind, the sea tide, and the monkeys jumping around. All of a
sudden, I heard my colleague screaming "MY GLASSES"! There were traces
of claws on his shoulder, glasses on nose gone. Mr. Chairman, you
could imagine how frenzy and yet hopeless we were. But surprisingly,
some local kids managed to exchange the glasses back with some
peanuts. And my colleague hastened to give some dollars to the kids
out of thankfulness.

On the way back to the hotel, we found something odd about the whole
thing. The monkeys took belongings from the visitors; the kids gave
peanuts to the monkeys; the monkeys gave the belongings to the kids;
and the kids returned the belongings to the visitors and got some
rewards. This is an interest chain! Our suspect was confirmed by our
local driver. This interest chain does exist. The monkeys only realize
the correlation between visitors' belongings and peanuts after
repeated hinting and training. As a result, they fill the first and
most critical link in this chain with their agility.

Coming back to the Report of the WTO Secretariat and UNEP, though the
scientific part has been deemed reasonably good, the legal analysis
part has been unfortunately interpreted by the media as "WTO signals
backing for border taxes". A tossed stone raises a thousand ripples.
Drafters of this Report might feel innocent as they seem to have only
tried to explain relevant provisions in the WTO Agreement, such as the
conditions of applying the general exceptions, and there is no
mentioning of backing for border taxes. That being so, they should be
aware that it is beyond the public and media's ability to fully
understand the legal relationship between the general provisions and
the exceptions. One thing is clear to all, though, that any attempt to
levy border taxes comes out for the purposes of restricting the
competitiveness of others instead of fighting climate change. On this
premise, it is impossible for the conditions of applying the
exceptions to be satisfied, such as "no discrimination between
countries where the same conditions prevail". Even President Obama has
said, "At a time when the economy worldwide is still deep in recession
and we've seen a significant drop in global trade, we have to be very
careful about sending any protectionist signals out there". "I am very
mindful of wanting to make sure that there's a level playing field
internationally", "but there may be other ways of doing it than with a
tariff". With this in mind, the international society should express
condemnations with one voice so as to deter others from following
suit. It is only to be expected that the public and media have
suspicions when the focus is placed on exceptions. There are two ways
of interpreting exceptions. One is to say you CAN'T do something
except under very special circumstances. The other is to say you CAN
do something as long as certain conditions are met. The two ways can
make huge differences. I am ignorant of the functions of the
Secretariat, but I do know that trade and climate change is a very
controversial issue. The WTO needs to be very cautious about making
any opinions on it.

Mr. Chairman, current WTO rules is a small cage which is unable to
hold big monkeys such as climate change. The only way out for climate
change and trade measures is first to reach a multilateral agreement
on climate change. This is what DG Lamy has termed as "Copenhagen
first". Then the relationship between climate change and trade
measures could be further clarified under the WTO framework. These
clarifications should still be based on multilateral discussions and
negotiations, and not make way for unilateral measures.

Finally, let me come back to Bali. Our driver was very responsible. He
swayed a bamboo pole in order to prevent the monkeys from approaching
us, in spite that the "Glasses Gate" still took place. But he did his
duty. He didn't act in collusion with the kids. He even reminded us
not to give too much money to the kids since this would encourage the
malconduct. Monkeys are monkeys, wild and difficult to tame, while
people should be clear about their identities and duties.

I thank you for your kind attention.