On The Dumping Of Two Different Types Of International Economic Activity

The purpose of this article is to analyze the characters of Market Dumping and Social Dumping, pointing out that Non-Market Economic Status is a discrimination policy to China. Also, the article wants to point it out that Social Dumping is an unreasonable burden on developing countries, who should have the chance to develope according to their own priorities based on its own concrete situations. Instead of improving labor standards, excessive requirements will hinder the progress of developing countries.Chapter one introduces dumping from a historical point of view. It first of all covers the economic concept of dumping, its categories and its relevant theories. For "Market Dumping" , which is the dumping we talk about when we say "anti-dumping" , the legislation processes in the European Union, the United States, the World Trade Organization and China are listed to indicate the development. Also reviewed in this Chapter is the evolution of Social Dumping. Since the European Union and the United States are the dominant supporters of Social Dumping, studies are focused on what they have been doing, and how they have been doing.Chapter two is an analysis of Market Dumping. Rules of the WTO, the EU and the USA are analyzed in a comparable way. Differences are mentioned and enlightenments for China are recommended. The main contents of this chapter include the definition of Market Dumping, the categories of Market Dumping, and how it is determined. When discussing the determination of Market Dumping, the following are studied in detail: Normal Value, including prices in the domestic market of the exporting state, prices in a third country and constructed value; the determination of injury, including material injury, threat of material injury and material retardation; the causal relationship between dumping and injury and pulbic interest. Another issue covered in this chapter is of great importance especially to developing countries, that is, the issue of Market Economy Status. Besides studing the nature of Market Dumping itself, another purpose of this chapter is to prepare for the comparison-and-contrast analysis with Social Dumping in chapter four.Chapter three focuses on Social Dumping. First, a complete introduction to its concepts is given out. Then the definitions are classified into different categories. For the determination of Social Dumping, developed countries present different standards and these standards are used alternately on different occasions. These standards can be divided into two big categories. The first standard is the core labor right standards, also called "core labor standards" , referring to the rights included in eight ILO (the International Labor Organization) Conventions. The other standard is the "social clause" standard. It is actually this standard that developed countries insisted on inserting into trade and investment agreements. An especially heated discussion is whether labor standards should be incorporated into the WTO. As a result, besides the discussion of what core labor standards and social clauses are, different opinions between developing and developed countries as to core labor standards and social clauses are explained and relevant WTO rules are used to confirm the idea of developing countries' that WTO is a trade organization and labor standards is something beyond its concern.Chapter four summarizes the differences and connections between Market Dumping and Social Dumping, which are reflected in the following aspects: first, they are different in character; second, they arise from different backgrounds; third, they are determined with different criteria; four, they involve different parties, have or have no intent of dumping, and we use different strategies to cope with Market Dumping and Social Dumping respectively. Most importantly, this chapter shows that the so called Social Dumping does not lead to the injury that some countries have claimed. In other words, Social Dumping has the same influence on domestic industries as common regular and fair competition, therefore, it does not lead to any material injury and there is no casual relationship between Social Dumping and the social problems that some states have claimed of. The connection between Market Dumping and Social Dumping lies in that both embody protectionism while neither is clear of political factors. Especially, there are phenomenons of the two merging together. In chapter five, several important issues are studied further concerning both Market Dumping and Social dumping from China's point of view. The biggest problem for China in Market Dumping is Non-Market Economic Status. Article 15 of PROTOCOL ON THE ACCESSION OF THE PEOPLE'S REPUBLIC OF CHINA is discussed here. The unfair treatment that China has experienced because of the Non-Market Economy Status is also mentioned. It is also proved that China should be regarded as a country with Market Ecomony. China has been endeavored to improve labor rights and we have laws and regulations that are comparable to core labor standards. Achievements are also made in other fields of law. However, we insist impractical requirements should not be imposed on developing countries. On the other hand, China should attach importance to the issue of Social Dumping, because not only the EU and the US have always be alert to the comparative advantages of developing countries, but also, with their economic power in the world, they are influencing other international organizations to accept the labor issue. Civilian movements concerning labor standards are equally aggressive.