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China and the WTO: Will the Market Economy Status Make Any Difference after 2016?

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  • Francisco Urdinez
  • Gilmar Masiero

Abstract

China’s Protocol of Accession to the World Trade Organization, signed on December 2001, allowed other country members to consider China as a Non-Market Economy (NME) until the end of 2016. The aim of this article is to answer the following question: Can the Market Economy Status (MES) Recognition be measured in its compliance? The proxy used for that compliance was the number of antidumping investigations initiated per country. The expectation is that countries recognizing Chinese MES would initiate fewer antidumping investigations than countries still treating China as a NME. This would explain why the Chinese government has been campaigning vigorously since 2001 to gain MES among its economic partners. Using count-models, we demonstrate that MES had a positive impact in reducing the number of antidumping investigations against Chinese products.

Suggested Citation

  • Francisco Urdinez & Gilmar Masiero, 2015. "China and the WTO: Will the Market Economy Status Make Any Difference after 2016?," Chinese Economy, Taylor & Francis Journals, vol. 48(2), pages 155-172, March.
    • Handle: RePEc:mes:chinec:v:48:y:2015:i:2:p:155-172
    DOI: 10.1080/10971475.2015.993228
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    Cited by:

    1. Duan, Yuqi, 2021. "What is The Impact of Chinas Entry into the WTO on CO2 Emissions?," Warwick-Monash Economics Student Papers 26, Warwick Monash Economics Student Papers.
    2. G. Rossini, 2017. "Hidden and non measurable trade policies: the case of state controlled firms," Working Papers wp1093, Dipartimento Scienze Economiche, Universita' di Bologna.
    3. Alexander Sandkamp & Erdal Yalcin, 2021. "Different antidumping legislations within the WTO: What can we learn from China's varying market economy status?," Review of International Economics, Wiley Blackwell, vol. 29(5), pages 1121-1147, November.
    4. Sandkamp, Alexander, 2020. "The trade effects of antidumping duties: Evidence from the 2004 EU enlargement," Journal of International Economics, Elsevier, vol. 123(C).
    5. Mohsen Bahmani-Oskooee & Tatchawan Kanitpong, 2019. "Asymmetric Effects of Exchange Rate Changes on Thailand-China Commodity Trade: Evidence From 45 Industries," Chinese Economy, Taylor & Francis Journals, vol. 52(3), pages 203-231, May.
    6. Alexander-Nikolai Sandkamp & Erdal Yalcin, 2016. "China’s Market Economy Status and European Anti-Dumping Regulation," CESifo Forum, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 17(01), pages 77-85, April.
    7. Gianpaolo Rossini, 2019. "State Owned Enterprises (SOEs) and Non Transparent Trade Policies," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 5(3), pages 433-453, October.

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