On the 15th, China appealed on the results of the ruling of the World Trade Organization Panel on the EU, the United States, and Canada in suing China for auto parts import management measures. It requested the WTO Appellate Body to review the case and make a fair decision. The Chinese Permanent Mission to Geneva on the same day issued a statement saying that after careful study, the Chinese side could not fully agree with the legal interpretation and conclusion of the panel of experts in this case. According to the WTO dispute settlement procedures and rules, the Chinese side appealed and it is hoped that the WTO Appellate Body can make a fair decision. It is understood that the Chinese delegation has already notified its dispute settlement bodies and appellate bodies of its appeals and put forward the legal points of appeal regarding this case. The relevant documents have also been copied to the three parties of the European Union, the United States and Canada. The Expert Group of the Dispute Settlement Agency of the World Trade Organization announced on July 18 the ruling on the dispute between China and the United States, the European Union and Canada on the dispute between auto parts. According to the report, China’s taxation of imported vehicles by more than 60% of imported parts and components constitutes discrimination against imported auto parts and therefore violates relevant trade rules. Expert point of view: 1. According to the relevant WTO rules, China may decide whether to appeal within 60 days from the date of the report of the expert group. The time limit for trials of the WTO Appellate Body is generally 60 days, with a maximum of 90 days. The Appellate Body may maintain, modify or overrule the legal findings and results of the panel of experts. China has gone through the final procedure within the stipulated time and then waits for the final decision of the appellate body. 2. Dissatisfaction with the judgment of the expert group and appeal according to the WTO dispute settlement procedure is an international practice. It can delay time and strive for more space for growth in the Chinese auto industry. But more importantly, it actively responds in order to demonstrate a positive response posture. The tenacious fight has changed the poor impression of the developed countries on our evasiveness in trade disputes. 3. Since 2004, China has successively promulgated the "Automobile Industry Development Policy", "Regulations for the Import of Automobile Parts and Components That Constitute Vehicle Characteristics", and the "Three Regulations: Import Vehicle Parts and Components Verification Rules". The situation has changed dramatically. In 2004, there was a huge deficit in China's auto product trade, with a surplus of USD 14.9 billion in 2007. The rise of European and American vehicle and first-tier suppliers for China's procurement boom has led to the gradual shift of European and American automotive manufacturing to China. This is also one of the important reasons why the WTO dispute was initiated by European luxury car manufacturers, but the United States and the Canadian government follow up. It is also one of the reasons why the WTO discriminates against the auto industry in China, Russia, and India (Exclusive: WTO treats the Chinese and Indian automobile industries differently). 4. From the point of view of the auto parts WTO dispute itself, there is little chance that China will get a comeback. Fortunately, this result has little impact on the entire industry and market. However, China must have control over the development of its auto industry. In the early days, technology-for-market practices led to the degeneration of the Chinese auto market. By the eleventh five-year plan, the government proposed the goal of “ownership brands gain more than 50% of market share,†but it was easier to pick up. 5. The "Administrative Measures" is just a set of coping styles that mainly include "blocking". After the WTO's final ruling, the development of China's auto industry should put more wisdom on the "sparse"-oriented aspect, that is, policy guidance to prevent transnational corporations from impacting and infiltrating components, and how to better To cultivate and improve the overall innovation capability and sustainable development capacity of domestic independent component companies. While supporting the development of self-owned brand vehicle companies in China, there should also be specific policy ideas for supporting local auto parts enterprises.
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FAQ:
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