Legal aspects of trade and economic relations between the EEC and China
This thesis first examines the overall development of the
EEC-China trade and economic relations. It then analyses the changing
Chinese economy, the non-market economy theory, its application and
implication in EEC-China bilateral trade relations. It is suggested
that China is no longer a traditional NME after ten years of reform;
its economy is in a transitional stage changing from an NME towards a
The thesis then reviews the 1978 EEC-China trade agreement. It
is found that this agreement provides a highly restrictive MFN
treatment between the parties, because China is not a member of the
GATT, and is classified as an NME. The thesis analyses the legal
framework and problems under the 1978 agreement, and its nature and
possible legal effect both in the Community legal system and in the
Chinese legal system. It then goes on to look at the Community
internal regulations which govern imports from China.
The thesis also reviews the 1985 economic cooperation agreement
between the EEC and China. It analyses the background and development
of the agreement; the areas for cooperation and the investment clause.
The cooperation agreement, it is submitted, is more an expression of
political goodwill rather than a comprehensive economic cooperation
framework such as the home convention.
A particular area, namely, antidumping, is separately discussed.
This is not only because China is one of the principal targets of the
EEC antidumping proceedings, but also the EEC employs a special set of
rules against imports from China, as well as other NIlE countries.
Trade in textiles is also special interested. It consists of major
European imports from China, and as such has a special legal regime.
The analysis suggests that trade in textiles between the EEC and China
has become more restrictive since 1979.
Finally, both the impacts of a single market in 1992 and China's
efforts to rejoin the GATF are discussed. It is suggested that the EC
should continue to be committed to free trade in theory and more
importantly in practice, and to remove existing restrictions on
imports from China; whereas China should continue its economic reform
and gradually open up its own market to the EC.