Analysis of industry export self-regulatory measures to resolve trade frictions
Industry export self-regulatory measures are export self-discipline implemented by an industry organization or relevant enterprises through authorization or entrustment to limit production capacity or export quantity or adjust export prices, thereby slowing down competition and resolving or avoiding trade with other countries. friction.
Analysis of the Necessity of Industry Self-Discipline Measures
Paragraph 242 of the “Report of the Working Group on China’s Accession to the WTO” on textiles The special restrictive measures on textiles will expire at the end of this year. At the same time, the textile trade memorandum reached between China, Europe and China based on paragraph 242 will also end at the end of this year. Since China is a major textile production and export country, what will be the situation of China’s textile exports in the future? This has become a topic of concern to many Chinese textile production companies and exporters as well as foreign textile production companies and importers. I remember that in 2004, European and American countries were worried about the surge in my country’s textile exports after integration, and requested talks with my country on textile export management issues, but my country refused. Later, China’s textile exports surged, which caused concerns in the textile industry of importing countries. Some countries took measures against China’s textiles, causing them to be stranded in Hong Kong. Later, my country and Europe, the United States and other countries reached a textile trade memorandum through negotiations, resolving the crisis. The current international export situation is extremely difficult due to the financial crisis in the United States and Europe. Will the surge in textile exports of that year be repeated? This possibility cannot be said to be impossible. But if textile exports surge again, we will have to face a complicated situation again. However, from the standpoint of the competent government departments, the Chinese government resolutely safeguards the liberalization of textile trade and opposes any form of trade protection and restrictive measures. Therefore, the author cautiously raises the question: if the government withdraws from management, under the current circumstances, can domestic industry organizations make a difference? Can industry self-discipline be used to eliminate foreign concerns about the surge in China’s textile exports and resolve possible triggers? What about trade friction? When other industries face the same situation, can trade frictions be properly resolved through industry self-regulation?
(1) Industry self-discipline is conducive to preventing companies from disorderly exports.
Assuming that the government is no longer willing to participate in textile export management for some reasons, it is very likely that the planned production or export of a single enterprise will lead to the unplanned production and disordered export of the entire industry, and then enterprises may form low prices in order to survive. Competition and export chaos (this situation has also occurred or exists in other industries). At that time, there will be a passive situation where we buy whatever goes down, sell whatever goes up, and ultimately make no profit, and will also face all kinds of accusations against me from abroad. Due to the large number of enterprises in our country, good and bad are mixed. If industry organizations strengthen their support and guidance for enterprises through self-discipline, this situation will be helpful to avoid this situation.
(2) Industry self-discipline is conducive to resolving trade frictions.
Since 2006, my country has faced increasingly severe trade frictions. According to statistics from the WTO Secretariat, there were 201 and 159 anti-dumping cases initiated in 2006 and 2007, respectively, and China encountered more than 1/3 of the cases respectively; during the same period, 9 and 11 countervailing cases were initiated, and the cases against China were respectively are 33% and 73%. It is foreseeable that in the next few years, trade friction cases against China will remain high. What needs to be paid attention to here is not only the number of cases, but also what kind of measures are taken. According to statistics from relevant departments, quite a few cases have been levied with anti-dumping duties or countervailing duties of more than 10%, with some as high as over 100% and some as high as over 1,000%. Since the average export profit of many of our products is less than 10%, these measures have seriously hindered the export of our products. Rather than being restricted by foreign countries and paying high additional import tariffs to foreign governments (although these are paid by importers, they are later passed on to our exporters), it is better to reduce export quantities and increase export prices through industry self-discipline to convert these costs into corporate profits. The reduction in export volume will ease the pressure on importing countries and help resolve and avoid trade frictions.
(3) Industry self-discipline is conducive to the optimization of foreign trade export structure.
In recent years, the scale of our export trade has grown rapidly and has become the third largest exporting country. At present, the urgent problem that our country needs to solve is not how to increase export volume, but how to increase the added value of export products by adjusting the industrial structure. The Seventeenth National Congress of the Communist Party of China put forward the Scientific Outlook on Development, calling for “accelerating the growth of foreign trade, relying on quality to win, and adjusting the import and export structure.” Industry self-discipline meets this requirement. Through export self-regulation, restricting the export of “three high and one capital” products and increasing the export of high value-added products will also be conducive to the realization of this requirement and goal.
Compliance and legality analysis of industry self-regulatory measures
Since my country’s accession to the WTO, government departments and enterprises have been learning WTO rules and acting in accordance with WTO rules. But the author believes that WTO rules should be used for my own use. Our thinking cannot be too dogmatic and rigid and be completely ended by the rules. The development from GATT rules to WTO rules��Industry self-discipline meets the requirements of foreign production industries and is conducive to their development.
Suggestions on the implementation of industry self-discipline
Since how the industry self-regulates is also a closely guarded issue abroad, which can be done but not discussed, the author would like to not talk about the specific operational details here. However, as far as the self-regulation of several domestic industries that the author is concerned about is concerned, although some problems also occurred during the period, the relevant companies finally found solutions through discussion and coordination. Generally speaking, most companies have benefited from industry self-discipline and thus understand and support industry self-discipline. The implementation results are good and the intended purpose is achieved. Industry self-discipline not only allows relevant trade frictions to be properly resolved, but also standardizes the export order of related products and increases the average export price. Here, the author makes some suggestions for industry self-discipline:
(1) Further clarify the status of chambers of commerce and associations and improve the operating mechanism.
Industry self-discipline does not come out of thin air. It must first rely on a representative, appealing and influential chamber of commerce or association. In order for chambers of commerce and associations to become true spokespersons for industry interests, it is first necessary to clarify the status of chambers of commerce and associations, and secondly to improve their working mechanisms and employment mechanisms so that member companies can truly participate in and dominate the management and decision-making of chambers of commerce and associations. Member companies must The chamber of commerce and association has the right to decide on the appointment or appointment of relevant personnel.
(2) Industry self-discipline must be decided by enterprises.
Industry self-discipline measures directly affect the interests of enterprises. It is up to them to analyze the target market and product conditions, comprehensively and balance everyone’s interests, put forward suggestions and make decisions. Industry organizations must avoid becoming the shadow of the government, and the government must respect industry self-regulatory decisions.
(3) Industry self-discipline should introduce democratic procedures.
Industry self-regulation can be implemented by chambers of commerce and associations, but self-regulatory organizations can also be established under the guidance of chambers of commerce and associations. First, we must clarify the pros and cons to relevant companies, and create opportunities to increase connections and contacts between companies so that they can become familiar with each other and lay the foundation for democratic elections. Secondly, relevant election rules and work regulations must be formulated. Third, the establishment of self-regulatory organizations must be recognized and authorized by the enterprise. Fourth, the election process must be reasonable, open and transparent, and avoid internal designation and secret operations. Only such self-regulatory organizations can be recognized by enterprises, and their decisions can be respected and implemented.
(4) Industry self-discipline must have punitive measures.
Our country has implemented industry self-discipline in some industries, but the results are not good. One of the main reasons is that there are no punitive measures designed for companies that violate industry self-discipline. Violators benefit and those who follow the rules suffer. Industry self-discipline must develop an effective punishment mechanism to increase the cost of corporate violations and ensure the implementation of industry self-discipline.
(5) Relevant government departments should provide necessary guidance for industry self-discipline.
Industry self-discipline is a new problem and challenge faced under the new situation. Relevant government departments must support it and provide it with a large amount of information, necessary training and guidance. Industry self-regulatory organizations must also maintain communication with government authorities, promptly reflect the opinions of enterprises, and make suggestions. Only in this way can industry self-regulatory behavior be consistent with national policies and achieve the ultimate goal of safeguarding industry interests. AA4353466DG
Disclaimer:
Disclaimer: Some of the texts, pictures, audios, and videos of some articles published on this site are from the Internet and do not represent the views of this site. The copyrights belong to the original authors. If you find that the information reproduced on this website infringes upon your rights, please contact us and we will change or delete it as soon as possible.
AA
