U.S.to Continue Tightening Trade Policy on China——A review of the establishment of the U.S.Interagency Trade Enforcement Center

U.S.President Barack Obama signed an executive order on February 28,2012 to set up Interagency Trade Enforcement Center (ITEC) in a bid to coordinate with U.S.trade rights,and domestic trade laws enforcement matters.This can be seen as a more tightening protectionism sign for U.S.bilateral trade relation especially with China.As stated in the executive order,the purpose of the Center is to advance U.S.foreign policy and protect the national and economic security of the United States through strengthened and coordinated enforcement of U.S.trade right under international trade agreement and enforcement of domestic trade laws.     

Potential to Improve the Competitiveness of China's Electronic and Mechanical Products Exports

Since launching the reform and opening policy, and particularly since the mid-1990s with accelerating industrialization processes and further policy changes, the electronics and mechanical industry in China has made huge strides in production and tbreign trade value, now accounting for approximately half of total exports from China and becoming a pillar industry of China＇s foreign trade.     

Export Facing Unprecedented Challenges while Domestic Consumption Booming

China resolved a trade dispute with the U.S. by agreeing to end dozens of subsidies that promote its exports, the Obama administration said. The agreement settles a year-old U.S. complaint at the World Trade Organization accusing China of violating global trade rules by providing cash grants, loans and research funding to makers of so-called famous brands products including apparel, agriculture goods and electronics.     

Gary Locke Led U.S.Business Executives to Promote Exports of U.S. Clean Energy Technologies in China and Indonesia

Forty-six U.S. business executives joined U.S. Commerce Secretary Gary Locke in China and Indonesia May 15-25 on the first cabinet-level trade mission of the Obama Administration.     

China Business Delegation Visits U.S and Canada

CCPIT will organize a business delegation consisting of over one hundred entrepreneurs to visit U.S. and Canada in June 2009, which are invited by US Chamber of Commerce, the U.S. Western Gover-nors Association and the China-Canada Trade Council. Mr. Han Meiqing, vice minister of International Liaison Department of CCPIT, announced this news on April 16, 2009 at a press conference. And they will launch a series of economic and trade exchanges. “Forum on Sino-US trade and investment cooperation” will be held in the U.S, and it will be the largest scale economic and trade exchange by China and U.S business communities since Obama took office.     

New Curbs on Processing Trade for A New Trade Pattern

China recently announced a new policy that seeks to rein in the de- velopment of processing trade in re- stricted commodities,in a bid to op- timize the country's exporting struc- ture,put strong curbs on the export of"high-energy-consuming, high- polluting and resource-dependent"products,and discourage the export of commodities with low added value and poor technology content,so as to gradually eliminate trade frictions, and promote trade balance to ease tension caused by the too wide trade surplus.The change is instrumental in upgrading the present processing trade system,transforming the pat- tern of foreign trade growth mode, and promoting the sustainable devel- opment of social economy.     

How to Change the Double Surplus Situation After Financial Crisis？

Reform the foreign trade policy, increase the intensity of imports For the future competitive pressures of trade in goods and the lack of competitive advantage in service trade, the policy adjustment should focus on improving the competitiveness of China＇s export products. Meanwhile, it should promote the development of appropriate import according to the needs of the economic development. This would include：     

Reform of and Improvements to China's Foreign Trade System

Before China adopted the reform and opening up policy in 1978,its foreign trade was governed by mandatory planning,and the state absorbed both the profits and the losses of enterprises.Since the reform and opening up policy was initiated,China's foreign trade system has completed the transformation from mandatory planning to giving full play to the fundamental role of the market-from state monopoly to full openness,and from indiscriminate egalitarianism to giving enterprises discretionary management power and making them responsible for their own profits and losses.During the negotiations over the restoration of its GATT (General Agreement on Tariffs and Trade) membership and entry into the WTO,and after it became a WTO member,China gradually adopted international trade practices,and established a unified,open foreign trade system compatible with multilateral trade rules.     

NOT ALL BAD

According to the data released by China General Administration of Customs on ,April 10th, in the first three months of 2010, China trade surplus dropped by nearly eighty percent, and March first saw monthly trade deficit from May 2004. Judging from current situation, trade surplus in the full year of 2010 may be low,     

Industrial Forecasts after Export Rebates Adjustment

On June 19,2007,the Circular of the Ministry of Finance and the State Administration of Taxation concerning Lowering the Export Rebate Rates for Some Commodities was published,which finally proved the early rumor of tax rebate adjustment to be true. According to the Circular,the export rebate rates for some commodities have been adjusted upon approval of the State Council and the new rates have become in force since July 1,2007. Main contents of the adjustment include the following aspects:firstly,cancel the export tax rebates for 687 categories of commodities which are high-energy-consumption,high-polluting and resource-dependent;secondly,lower the rates of exporttax rebate for 2133 categories of commodities which are likely to cause trade frictions;thirdly.11 categories of commodities should be duty free when exported. In particular,the rate of export tax rebate for furniture has been cut from 13% to 11% or 9%. Different from last year's adjustment,this one hasn't provided a period for transition.Last September,the export tax rebate rates adjustment allowed that the previous 11% rate would continue to be available until December 14 for export contracts signed on or before September 14,2006,which gave the relevant exporter about 3 months for transition to minimize the loss of exporters caused by the tax rebates adjustment.However,during its implementation,the policy wasn't followed well and a lot of false contracts were made out,which led to unfair competition among exporters.The latest adjustment,with narrowing China's too wide trade surplus as its main goal, doesn't offer any transitional period for enterprises in case of the repeating the problems of the last one. In addition,the machine account system of bank guarantee deposits of processing trade should also be effective for relevant imported raw materials of processing products for export under the bonded system.For imported products as processing commodities under restriction,the machine account system for bank guarantee deposits should be continue to be effective. Foreign-funded enterprises(FFEs)in central and western region in China can enjoy more advantages because the bank guarantee deposits policy will gradually give preference to western areas.On the contrary,newly established FFEs in coastal area in East China would be under much stricter control when importing such category of commodities,that is,these FFEs should import commodities of this category as ordinary goods. In order to relive the great pressure from excessive trade surplus growth and to show the govemment's determination to restructure its industries,China will strictly implement the policy and the implementation will touch on a wide range of issues.Every relevant enterprise must play in line with the policy since July 1,2007.Different from the previous ones,the latest adjustment has focused on industrial restructuring.Commodities with their export rebates have been adjusted this time are those China will limit whose production and exportation. By Editor     

LETTERS

Dear editor, I am a Chinese teacher for foreigners.In my class,mainly teach those foreign students the Chinese language,but some of my students want to do trade business after studying,so i often recommend them some articles from the CHINA＇S FOREIGN TRADE to read. These articles are very helpful for them to know more about China＇s new policy and affairs in economy and trade,compensating for our teaching＇s insufficient aspect.     

Trade Statistics：Cotton Yarn ＆ Fabnc in Feb.

Cotton is the single most important textile fiber in the world, accounting for nearly 40 percent of total world fiber production. While some 80 countries from around the globe produce cotton, the United States, China, and India together provide over half the world＇s cotton. This monthly update provides official CNTAC （China National Textile ＆ Apparel Council ） data on China import and export of cotton yarn and cotton fabric, to show a general profile of China＇s foreign trade in current textile industry.     

SUMMARY

China has revised its import and export trade supervision policy. Trade Supervision Adjustment in 2009
The refinements will make China＇s foreign trade regulatory environment more effective in coping with the growing impact of the global economic crisis.     

April,Another Recovering Month for Im/Ex

China＇s import and export in April,2009 continued to be another month of decreasing trade, the consecutive sixth month from last November.On May 12,General Administration of Customs of the People＇s Republic of China announced the profile of China foreign trade import and export in the first 4 months of this year.According to the customs＇ statistics,the total     

China＇s Fulfillment of the WTO Accession Commitments

In 2006 and 2007, China further lowered its tariff rate, increased market access to trade in services, and enhanced the transparency of its trade policy.     

China''''s Fulfillment of the WTO Accession Commitments

In 2006 and 2007,China further lowered its tariff rate,increased market access to trade in services,and enhanced the transparency of its trade policy.     

Prof. Wu Xiaoqiu： China Is Striving for the World＇s Most Developed Capital Market

China＇s capital market is a hot issue in the new year. The best strategy to develop the Chinese capital market in the coming 15 to 20 years was discussed in the China Capital Market Forum, which was held in China at Renmin University on January 13. Government officials, scholars, and entrepreneurs commented that by 2020, the Chinese capital market will develop into one of the best capital markets in the world, not only in terms of size, but also asset quality, liquidity and dynamic trade. Is this a realistic goal？ What steps should we take to pursue this target？ With these questions in mind, after the forum, China＇s Foreign Trade interviewed Prof. Wu Xiaoqiu, Vice President of Renmin University of China, and the Director of the Finance ＆ Securities Institute of Renmin University.     

Portugal Sees Top Priority Market in China——Interview with H.E.Mr.Rui Quartin-Santos,Ambassador of portugal in China

In recent years, the economic and trade cooperation between China and Europe has witnessed a rapid growth and is showing a more and more remarkable tendency of market integration, this is why the Chinese market and west-em European countries are being comprehensively opened to one another. Portugal, at the western point of Europe which has a territory of 92152 sq. meters and a population of 10.54 million, is ready to accelerate its integration into the Chinese market. In 2005, according to Chinese statistics provided by the Custom's Office, the bilateral trade between China and Portugal was only US$1.236 billion. When interviewed by China's Foreign Trade in November, H.E. Mr. Rui Quartin-Santos, Ambassador of Portugal in China stressed: "Among the countries in Europe, Portugal has one of the longest historical relations with China. China is regarded as a top priority market for Portugal and the Portuguese business community." His comments are as follows: By Editor     

The Comparative Analysis of Grain Trade Policies between China and South Korean after Joining the WTO

In view of different grain trade structure and protectionism period, it is well known that China difficultly uses the technology and the green barriers to protect her domestic market as same skilled as Japan and European Union. At the same time, China often encounters above two barriers when it exports Japan and European Union. This article thinks mat mere is the certain commeasurability between the grain trade policy of China and that of South Korean:     

Italy and China： Trade, Culture and History——An Interview with Antonino Laspina, Commissioner of the Italian Trade Commission＇s Beijing office

Italy is a modern, industrialized nation which has managed to preserve its traditional culture intact. It is China＇s old friend, and its long-time trade partner. In 2006, the Year of Italy in China, various measures were taken to broaden the scope of China and Italy＇s relationship, not only in terms of economic cooperation and trade, but also concerning historical and cultural awareness. What sort of new opportunities for cooperation will we be seeing in the new year？ China＇s Foreign Trade interviewed Antonino Laspina, Commissioner of the Italian Trade Commission＇s Beijing office, about this question and more.