<img src='https://news.cgtn.com/news/2024-07-20/China-responds-to-WTO-members-concerns-refutes-overcapacity-claims-1vo63OAfhjq/img/a5648a7162dc48b09761d76a299646c7/a5648a7162dc48b09761d76a299646c7.png' alt='A Chinese representative speaks during the WTO trade policy review. /China Media Group'
China refuted allegations of “overcapacity” and “economic coercion” from certain members of the World Trade Organization (WTO) on the second meeting of WTO’s ninth trade policy review of China on Friday. The Chinese delegation also actively addressed concerns raised by WTO members regarding China’s trade policies.
The Chinese representatives highlighted the recent conclusion of the third plenary session of the Communist Party of China’s (CPC) 20th Central Committee on July 18, which adopted a resolution on further deepening reform comprehensively to advance Chinese modernization. The representatives said that the resolution reflected China’s commitment to advancing reforms, expanding openness and pursuing high-quality development, which will offer new and significant opportunities for the global community.
In response to specific criticisms from certain WTO members regarding “overcapacity” and “economic coercion,” China emphasized that its subsidy policies are fully compliant with WTO rules. The success of Chinese enterprises is attributed to market competition rather than government support. The Chinese delegation also pointed out that China’s new energy products play a crucial role in the global transition to green and low-carbon technologies. Given the current global demand, there is no actual “overcapacity” in these sectors.
China also firmly denied any practice of “economic coercion,” asserting that such behavior has never been part of its trade policy. The delegation criticized some members for employing “long-arm jurisdiction,” creating restrictive lists, and arbitrarily sanctioning enterprises and individuals from other member countries, which they deemed as true sources of economic coercion.
Furthermore, the Chinese representatives addressed a range of issues with a transparent and open approach, including industrial policy, subsidies, state-owned enterprises, intellectual property protection, cyber security and data flow, government procurement, the construction of a unified national market, export controls, standards setting, inspection and quarantine measures, and transparency.
The delegation provided detailed explanations on policy objectives, operational specifics, implementation effects and future directions. They also clarified China’s stance on expanding market access for least developed countries, supporting the status of developing members, and pragmatically handling special and differential treatment issues.
During the review, representatives from 71 WTO members spoke, many of whom praised China’s achievements in reform and opening-up and its significant contributions to the WTO. They expressed a desire to deepen economic and trade relations with China and looked forward to China’s enhanced role in global economic recovery, practical cooperation with developing members, and the maintenance of the multilateral trading system.
