Rare legal battle intensified Sino-US trade

According to reports , around the "rare earth export policy ," the US-China trade legal battle is heating up . Reporters learned from authoritative sources , in order to expand the fruits of victory , let the Chinese into a passive , the U.S. was submitted to the WTO before the appeal , at the same time , China is also actively preparing for , or appeal will be submitted today .

Geneva time on March 26 , World Trade Organization announced the United States, European Union, Japan v. rare earths, tungsten, molybdenum export management measures related to the case of the panel report China , ruled the Chinese export management products involved violations. In accordance with WTO rules , the panel report released in 60 days , the parties may appeal .

"The recent Ministry of Commerce has several lawyers and industry experts convened open internally , and discuss the possibility of appeal specific strategies . The industry generally believe that the existence of discriminatory ruling panel report , the majority support of the appeal . " an industry source told reporters that while the United States will undoubtedly appeal to some extent makes us somewhat passive. "We must immediately cross appeal , the United States obviously do not want to give us too much time to prepare . "the source told reporters.

Chinese Rare Earth Society insiders told reporters that after losing rare , the association also organized enterprises and experts , the impact of this result might bring to the industry to assess , and the Commerce Department also conducted a number of seminars, prepare responses. China Rare Earth Group , a large high-rise on the phone said that from a business perspective are most worried about is that in the rare earth bubble burst , the rare earth industry as a whole are relatively sluggish performance , the export situation is very weak, losing once triggered rare earth export control policy after the cancellation , the signal may lead to rare earth prices continue to fall , so the industry worse.

However , a contradictory reality is that Europe and other Western countries Zhexiang counterclaim Chinese export restrictions , but there openly for their own strategic resources closure without mining . Some scholars statistics indicate that there are over 20 countries in the field of energy resources have taken various measures to restrict exports . After a state such as Canada take on timber exports , " domestic needs test " , that is, only in the country, the state sell timber to meet the internal demand will consider exports. Another example is the U.S. natural gas exports to take " an export license approval ," and so on.

To suppress the Chinese rare earth , behind the United States and Europe and other Western countries intent is obvious , the impact of China's resources in order to protect the system. Experts pointed out that the United States and Europe and other Western countries often with the skill to play the rules , even those who are fair rules are often able to successfully twisted , but in accordance with the WTO rules to safeguard their legitimate rights and interests of the original intention of developing countries and regions buckle " violation "hat. In his opinion , in the face of foreign " initiative " of resource products , China also should actively reserve " counter-measures ."

The Chinese Rare Earth could regain a bureau ? Chinese Academy of Social Sciences , director of the Institute of International Law International Economic Liu Jingdong , told reporters that the panel report has two debatable. First, with regard to the export tax, the Chinese government can take advantage of GATT ( GATT ) Article 20 ( general exception provisions on environmental protection ) to defend . While China's accession to the WTO Agreement shall not be directly invoked 20 , but only therefore denied China as a member of the basic "self-evident " rights , is not fair. In rare case , the group members have a recognized three Chinese this right , Brazil , Russia and other developing members also expressed approval. Unfortunately, the other two members of the Group inherited the case after nine kinds of raw materials, the view that China is entitled to use 20 .

The second is about the Chinese government export restrictions , despite the support of the Group of Experts recognized China's environmental protection in mind , that the specific measures , such as export quotas are inconsistent with WTO rules . "Some specific points sweeping , and did not accept China's defense. Not because the Chinese side effect appeared less than expected results in the implementation of the measures , the measures would negate itself . It is also unfair to. " Liu Jingdong said.

" China on these issues is still appeals space. " Gong Baihua Fudan University Law School professor also told reporters. He said , WTO dispute settlement mechanism set its " reasoning " mechanism , the parties need to provide evidence by this set of rules , the interpretation of treaties . Of course , we can think of this group of experts in the application of the rules are biased, resulting in " unfair" Objectively, this, we should let the Appellate Body to check possible " unfair ." Another level, regardless of winning or losing the appeal , China has completed the program can return 1-2 years of time and space policy adjustments .

"I personally think we should further safeguard the rights through appeal. " Liu Jingdong said that although the Appellate Body was" just the facts without trial law trial " , the possibility of our turnaround is unlikely, but still have to fight for basic rights through action , indicating that our attitude. He said , WTO unlike domestic case , its significance lies not only in the outcome itself , the panel report is only the first instance , if you do not appeal on behalf of obedience, which is a different point of view , there is a difference .

An industry source pointed out that China should continue to fight. No one can guarantee that a lawsuit lose or win, compared to the result that China, as a responsible trading nation and the Member States involved in the process itself is meaningful , both a right to defend their attitudes , but also to clarify the rules of the multilateral dispute settlement mechanism responsibility of the key issues .

America will again appeal against the first instance , " hunting " , in addition to the case itself proceedings , Liu Jingdong said that the reason why the case against China's rare earth , but also because the domestic management measures did not achieve the intended purpose , will " invited heavy criticism . " Domestic management system should reflect the unity of legislation to coordination between central and local policymakers should fine . Gong Baihua also said that China how to handle the relationship between economic development and environmental protection ; overall interest of the development of local interests and national economic development ; encourage exports and export management issues , which are worthy of reflection .

Background Information :

Rare earth resources are very valuable , and its importance can generally be attributed to three points: First, the special ingredient . English name RE literal translation is " rare earth" , and its essence is the lanthanides plus similar chemical properties of the periodic table , scandium , yttrium and other 17 kinds of generic elements . Each of rare earth elements have a very rich optical, electrical , thermal and magnetic properties.

However , rare earth resources have become the focus of contention , largely because it is still widely used in missiles, smart weapons , jet engines, navigation systems and other related high-tech modern military . We can say that the rare earth day is widely used in armed forces weapons and equipment . Military applications of rare earth , not only a wide range, and use are critical . This is a world of its countries, especially military power concerns mainly focus. To some extent, the Western powers against imports from China is a large number of rare , kept military technological superiority to China.


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