EU – Price Comparison Methodologies (DS516): Challenging the Non- Market Economy Methodology in Light of the Negotiating History of Article 15 of China's WTO Accession Protocol

(2018) 52(3) Journal of World Trade

UNSW Law Research Paper No. 3

26 Pages Posted: 2 Feb 2018  

Weihuan Zhou

University of New South Wales

Delei Peng

East China University of Science and Technology (ECUST)

Date Written: January 1, 2018

Abstract

The EU’s and the US’ written submissions in EU – Price Comparison Methodologies, for the first time, elaborated their respective positions on how Article 15 of China’s WTO Accession Protocol should be interpreted and applied after fifteen years of China’s entry into the WTO on 11 December 2016. This article offers a detailed analysis of the weaknesses in the interpretation of Article 15 as proposed by the EU and the US, that is, the so-called “Shifting in Burden of Proof” approach. The article argues that the non-market economy antidumping rule contemplated in Article 15 must be terminated according to the 15-year deadline. Through a careful examination of the negotiating records of Article 15 and China’s Accession Protocol under both the GATT/WTO multilateral negotiations and the US-China bilateral negotiations, the article submits that the bilateral records show convincingly that the compromise reached between the US and China on Article 15 was that while China accepted the application of the special antidumping rule, the US agreed that the rule would remain applicable for fifteen years only. There were no negotiating records to suggest that this compromise was not endorsed by the WTO membership. In conclusion, the article offers brief observations on the broader implications of this dispute.

Keywords: Price Comparison Methodologies, WTO, Art 15, Accession Protocol, EU, US, GATT, WTO membership, Shifting in Burden of Proof, antidumping

Suggested Citation

Zhou, Weihuan and Peng, Delei, EU – Price Comparison Methodologies (DS516): Challenging the Non- Market Economy Methodology in Light of the Negotiating History of Article 15 of China's WTO Accession Protocol (January 1, 2018). (2018) 52(3) Journal of World Trade; UNSW Law Research Paper No. 3. Available at SSRN: https://ssrn.com/abstract=3115861 or http://dx.doi.org/10.2139/ssrn.3115861

Weihuan Zhou (Contact Author)

University of New South Wales ( email )

Room 368, the Law Building
UNSW Sydney, 2052
Australia
+61 2 9385 9562 (Phone)

HOME PAGE: http://www.law.unsw.edu.au/profile/weihuan-zhou

Delei Peng

East China University of Science and Technology (ECUST) ( email )

Shanghai
China

Register to save articles to
your library

Register

Paper statistics

Downloads
255
rank
107,500
Abstract Views
713
PlumX