China's experience and challenges in utilising the WTO dispute settlement mechanism

Publication Type

Book Chapter

Publication Date

11-2010

Abstract

The creation of the World Trade Organization (WTO) dispute settlement system has been viewed as a major achievement. The Dispute Settlement Understanding (DSU), the agreement that governs the WTO Dispute Settlement Mechanism (DSM) to ensure better compliance with WTO legal commitments, aims to provide a more secure and predictable multilateral trading system. However, WTO Members' experiences with the system differ substantially. In particular, many developing Members have struggled to adjust to a new system of jurisprudence, utilize it effectively, and muster the substantial resources that involvement in the DSM demands.

China has undergone significant change and unprecedented economic growth in the last several decades. Although still classified as a developing country, its trade has taken the world by storm, with China currently ranked as one of the largest and most powerful players in the global economy. The nation's recent history has seen a whirlwind of expansion and development involving extensive structural change and economic liberalization. China's engagement with the WTO system serves as a testament that China is an economic and political force here to stay.

On 11 December 2001, China acceded to the WTO as its 143rd Member, after 15 years of negotiations to enter the multilateral trading regime. With WTO membership, Chinese exports have been granted automatic most-favoured-nation (MFN) treatment in the markets of all WTO members. Both Chinese exports and imports have grown enormously, and China currently ranks as the world's third largest trading power.

Discipline

Asian Studies | International Trade Law

Publication

Dispute settlement at the WTO: The developing country experience

Editor

Gregory Shaffer & Ricardo Meléndez-Ortiz

First Page

137

Last Page

173

ISBN

9780521769679

Identifier

10.1017/CBO9780511663192.005

Publisher

Cambridge University Press

City or Country

Cambridge

Additional URL

http://doi.org/10.1017/CBO9780511663192.005

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