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Granting China The Market Economy Status And Its Impact On The Eu Member States

Author

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  • Sarmiza Pencea
  • Cristina Bâlgăr

Abstract

The existence of a transitory provision in China’s Protocol of Accession to the World Trade Organization (WTO) permitted the country’s status of non-market economy to be maintained for aperiod of 15 years, which materialized in the possibility to treat imports from China differently in order to protect the European Union (EU) market against dumping prices. As this clause is going to expire at the beginning of December 2016, the EU will have to adopt a position regarding the official recognition of China as a market economy, thus assuming also the possible economic implications brought about by this kind of decision. In this context, the present paper aims to assess the effects of this option on the EU economy, as well as to briefly overview the measures taken in order to safeguard fair competition and avoid future market distortions.

Suggested Citation

  • Sarmiza Pencea & Cristina Bâlgăr, 2016. "Granting China The Market Economy Status And Its Impact On The Eu Member States," Impact of Socio-economic and Technological Transformations at National, European and International Level (ISETT), Institute for World Economy, Romanian Academy, vol. 13.
  • Handle: RePEc:iem:imptrs:v:13:y:2016:id:2822000009632011
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    File URL: http://www.iem.ro/rem/index.php/itset/article/view/499/576
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    More about this item

    Keywords

    China; EU; market economy status (MES); WTO; antidumping investigations; trade;
    All these keywords.

    JEL classification:

    • B22 - Schools of Economic Thought and Methodology - - History of Economic Thought since 1925 - - - Macroeconomics
    • D4 - Microeconomics - - Market Structure, Pricing, and Design
    • D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
    • E5 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit
    • F4 - International Economics - - Macroeconomic Aspects of International Trade and Finance
    • K33 - Law and Economics - - Other Substantive Areas of Law - - - International Law

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