Rule of Law in the Application of WTO Rules -- China's Textile Special

Author: Huang Dongli
Publisher:
Publish Date: 2005-10-18
Features: The trade friction between China and Europe and the United States in textiles has been ongoing. These frictions stem from the Special Safeguard Measures for Textiles that China agreed to upon joining the WTO. In this economic dispute triggered by an international treaty, the role of law has not been fulfilled as it should. Historically, the most common means of resolving economic conflicts of interest has been politics, particularly political coercion with force. The WTO legal system has the potential to find a peaceful solution for the development of world resources and the distribution of economic interests, as the legal system, as the foundation of democracy, is accepted by all. Complete reliance on law in international affairs is naive, but demonstrating distrust of law within the WTO system is dangerous. Interest groups in the United States are concerned about the rule of law in China because they believe it paves the way for breaking through China's economic sovereignty. The American public is concerned about the rule of law in China because they believe it guarantees life, freedom, and property. In electorally governed states, interest groups manipulate ideology, and must first manipulate public perception. Accusing China of lacking the rule of law is a shortcut to gaining broad public support. One of the evidences of the lack of the rule of law is the complete substitution of politics for law. We have always believed that joining the WTO was based on a fundamental balance of rights and obligations. Therefore, the setback in international textile trade is either a result of our interest balance or the abuse of rules by other members. If the former is the case, a calm attitude toward trade restrictions is the correct approach. If the latter is the case, using law to protect our economic interests is the action that should be taken. This book takes the legal interpretation of the Special Safeguard Measures for Textiles as a clue to explore the basic principles of treaty interpretation in the WTO legal system, exemplify the legal interpretation methods of WTO treaties, analyze the legislation of Europe and the United States targeting China's Special Safeguard Measures, and examine the actual application of U.S. legislation, providing a basis for legally resolving trade frictions between China and Europe, the United States, and other countries. Law is a good path to resolving textile trade frictions and the primary consideration for addressing future trade disputes that may arise. It is a crucial purpose of our joining the WTO and a direct weapon for safeguarding our trade interests. It is more likely to become a good starting point for us to move toward the rule of law and establish an international image of the rule of law. It is yet another opportunity given to us by history.