II.

China’s 1^st Two Years of WTO Membership

It should be noted at the outset that there are two very large overarching issues that are not taken up in the context of this research report but which are being separately pursued by domestic parties -- the issues of China's currency valuation and China's labor practices.[1] Both are potentially of enormous importance to the US-China bilateral trade relationship but are not further addressed in this report.

Compliance Efforts

Modification to laws, regulations

Accession to the WTO provided a catalyst for sweeping legal reform in China. WTO membership put the Chinese legal system under scrutiny, as China needed to bring its trade-related legal regime into conformity with the WTO Agreements and to honor its obligations with respect to development of the rule of law. In the meantime, as the development of the market economy and privatization gains momentum, China believes there is a need to foster internally a transparent, predictable and fair legal environment conducive for the smooth operation of its economic reform.[2]

Both prior to and after WTO accession, China devoted considerable efforts in the reform of its legal system. In December 2002, in the context of the first transitional review held by the General Council, the Chinese representative reported with respect to the overhaul of China's laws and regulations:

[T]o meet the needs of the WTO accession, his government, in accordance with its commitments, had launched a massive program regarding the enactment, amendment and repeal of laws, regulations, and administrative rules, policies and measures which are relevant to or affecting trade in goods, trade in services, trade-related intellectual property rights and assurance of transparency and uniform application of trade regime. In September 2001, the State Council had issued a circular requesting the local governments to review local regulations, administrative rules, policies and measures in line with the principles of uniform application, non-discrimination and transparency. This work had been basically finished.[3]

As indicated in the minutes of the meeting, the Chinese representative also outlined China's efforts in improving the transparency of its trade regime and ensuring uniform application of its trade policy as integral parts of China's reform of the legal framework:

[I]n accordance with Annex 1A to China's Accession Protocol, relevant economic data and information had been provided to the General Council in a timely manner as required by this review. during this first year after China's accession, the notification obligations had been fulfilled with more than 300 pieces of notifications made according to various WTO agreements. A large amount of information had been submitted in advance of review held at subsidiary bodies.

In line with the accession commitments, the China WTO Notification and Enquiry Center had been set up by the Chinese government immediately after the accession to provide enquiry service on trade-related information for all members, enterprises and individuals. The establishment of this enquiry point had been notified to the WTO.

The Chinese government had also designated Foreign Economic and Trade Gazette as the official journal for the laws, regulations and other measure relating to or affecting trade in goods, trade in services, TRIPS and TRIMS, as these laws, regulations and measures could not be enforced before their publication.

* * *

[T]o implement China's commitments, a relatively sophisticated legal system had already been put in place to ensure the uniform implementation of trade policy. According to the existing legislation in China, any enterprise or individual could bring cases of non-uniform application of laws, regulations, administrative rules, policies and measures to the attention of a relevant authority. The governmental administration and institutional reform undertaken by China had formed solid basis for the implementation of this system.[4]

At the Sino-American Legal Exchange Seminar in December 2002, Mr. Li Yuede, Deputy General-Director of the Research Department of the Legislative Affairs Office of the State Council, detailed China's achievement in revamping its laws and regulations:

After the Sino-American bilateral negotiations concerning China's accession to the WTO were concluded in November 1999, the Chinese Government immediately started adjusting its trade-related domestic legal regime. * * * Until now, at the central level, as arranged by the plan for formulating, revising, repealing relevant domestic laws, the National People's Congress and its Standing Committee has enacted or revised 14 recent laws, * * *; the State Council has formulated or revised 37 administrative regulations, * * * repealed 12 administrative regulations, and stopped implementing 34 other relevant documents; and the relevant departments of the State Council has enacted, revised or repealed about 1000 department rules and other measures. The Supreme People's Court has repealed 20 relevant judicial interpretations and made relevant interpretations for the adjudication of new administrative cases that may arise after the accession. * * * The local regulations and local government rules revised or repealed by the 31 provinces, autonomous regions and municipalities directly under the Central Government and 49 larger cities, together with the relevant documents and other measures the implementation of which was stopped by the foregoing localities totaled more than 190,000, including 1,130 local regulations and 4,490 local government rules.[5]

China has made a determined and good-faith effort to reform its legal system. As the US-China Business Council has commented:

The provisions of a large number of new and amended laws that have been adopted since December 2001 have brought many areas of China's trade and investment regimes into line with WTO obligations and demonstrate the seriousness with which the PRC government has approached the challenge of WTO compliance."[6]

The following tables illustrate the degree to which China has promulgated newly enacted or revised laws and regulations pertaining to trade, both in preparation for and following accession. Many of the laws and regulations listed below have been notified to the WTO (see Appendix 7 for a list of laws and regulations notified by China to the WTO since accession).

In summary, for trade in goods, China:

· promulgated a series of regulations and administrative measures concerning import administration of goods, including import quotas, specific tendering, import licensing, automatic import licensing and tariff rate quotas;

· promulgated new laws and regulations in antidumping, countervailing and safeguard measures to bring the trade remedy regime into conformity with the WTO rules.

For the investment regime, China:

· revised the basic laws concerning foreign investment, i.e., Law on Chinese-Foreign Equity Joint Venture, Law on Chinese-Foreign Contractual Joint Venture, and Law on Wholly Foreign Owned Enterprises. The revision includes the elimination and cessation of enforcement of requirements on trade and foreign exchange balancing, local content, export performance, compulsory technology transfer, etc.

· promulgated the revised Provisions on Guiding Foreign Investment Direction and Industrial Catalogue for Foreign Investment. Under the new provisions and catalogue, China has liberalized further the restrictions imposed on the proportion of foreign equity in investment projects and opened new sectors to foreign investment. The newly opened sectors include telecommunications, urban water supply and drainage, construction and operation of gas and heat distribution network, which were previously prohibited from any foreign investment.[7]

For trade in services, China :

· issued a series of new regulations and administrative rules in various service sectors (e.g., banking, insurance, legal, telecommunications, freight forwarding, tourism services, audio-visual related services, etc.) to consolidate the legal basis upon which improved market access opportunities for foreign services suppliers rested.[8]

For intellectual property rights protection, China:

· conducted across-the-board amendment of IPR laws and regulations to bring IPR protection in line with the requirements laid out by the TRIPS Agreement respecting copyright, patent, and trademark;

· adopted new regulations governing the protection of layout design of integrated circuits and new varieties of plants;

· with respect to the details of the legal revisions, for example, the amended Trademark Law adds the provisions regarding the protection of geographic indications and well-known trademarks, expands the scope of eligible subject matter of a trademark, stipulates the right of priority, and provides for judicial review of the administrative decisions related to trademark registration. The revised Copyright Law enlarges the scope of protection, clarifies the rights of performers and producers, adds the provisional measures of property and evidence preservation, and stipulates the amount of statutory damages. The revised Patent Law stipulates conditions for granting compulsory licenses, and adds the provision of judicial review for administrative decision regarding patent of utility model and design.[9]

i. Trade in Goods

Import administration

Regulation	Date	Notified to WTO
Implementation rules on administration of automatic import licensing of machinery and electronic products	effective 01 Jan 2002	X
Measures on administration of import of machinery and electronic products	effective 01 Jan 2002	X
Implementation rules on the administration of import quotas of machinery and electronic products	effective 01 Jan 2002	X
Implementation rules on the administration of import of specific machinery and electronic products	effective 01 Jan 2002	X
Interim measures on the administration of import quotas of natural rubber	effective 05 Feb 2002	X
Implementation rules on the administration of import tariff rate quota of wool and wool tops of 2002	effective 05 Mar 2002	X
The quantity, conditions of application and allocation methods of import tariff rate quota of important agricultural products of 2002	effective 10 Feb 2002	X
Interim measures on the administration of import tariff rate quota for agricultural products	effective 05 Feb 2002	X
Interim measures on the administration of import tariff rate quota for agricultural products (new)	effective 27 Sep 2003 after amendment
Implementation rules on the administration of automatic import licensing of important industrial products	effective 01 Feb 2002	X
Measures on the administration of import licences for goods	effective 01 Jan 2002	X
Circular on the reallocation of import tariff rate quota for important agricultural products of 2002	N/A	X
Measures on the administration of automatic import licensing of goods	effective 01 Jan 2002	X
The allocation methods for import quantity of automobile tyres under import quota and application procedures in the year 2002	promulgated on 18 Jan 2002	X
The allocation method for import quantity of processed oil under import quota and application procedures in the year 2002	promulgated on 18 Jan 2002	X
The allocation methods for import quantity fertilizer under tariff rate quota and application procedures in the year 2002	promulgated on 18 Jan 2002	X
Decree on the adjustment of the import quotas (non-state trading) for processed oil, automobile tyres and crude oil of 2002	promulgated on 13 Aug 2002	X
The allocation methods for import quantity of processed oil under import quota and application procedures in the year 2003	promulgated on 31 July 2002	X
The allocation methods for import quantity of automobile tyres under import quota and application procedures in the year 2003	promulgated on 31 July 2002	X
Implementing Rules on the Allocation of Tariff Rate Quota for Import of Important Agricultural Products for 2003	N/A	X
The Pronouncement on the Re-allocation of the Import Tariff Quota for Important Agricultural Products for 2003	N/A	X
Implementation Rules on the Administration of Tariff Rate Quota for Import of Wool and Wool Tops for 2003	N/A	X
Total Import Volume and Application Procedures for Crude Oil for Non-State Trading in 2004	N/A	X
Total Import Volume, Quota Allocation Criteria and Application Procedures for Processed Oil for Non-State Trading in 2004	N/A	X
Total Amount of Import, Allocation Principles and Application Procedures for the Tariff Rate Quota on Chemical Fertilizer for 2003	N/A	X
Implementation Rules on the Allocation of Tariff Rate Quota for Import of Natural Rubber for 2003	N/A	X
Interim Measures for the Administration of Import under State Trading for Crude Oil, Processed Oil and Chemical Fertilizer	N/A	X
The Application Criteria, Documentation and Procedures Needed in the Submission for the Registration of the Right to Deal in the Non-State Trading Imports of Crude Oil, Processed Oil and Fertilizers	N/A	X

Trade Remedy Regime

Regulation	Date	Notified to WTO
Regulations on Antidumping	effective 01 Jan 2002	X
Provisional Rules on Initiation of Antidumping Investigations	effective 13 Mar 2002	X
Provisional Rules on Questionnaire in Antidumping Investigation	effective 15 Apr 2002	X
Provisional Rules on Public Hearing in Antidumping Investigations	effective 13 Mar 2002	X
Provisional Rules on Sampling in Antidumping Investigations	effective 15 Apr 2002	X
Provisional Rules on Disclosure of Information on Antidumping Investigations	effective 15 Apr 2002	X
Provisional Rules on On-the-Spot Verification in Antidumping Investigations	effective 15 Apr 2002	X
Provisional Rules on Access to Non-Confidential Information in Antidumping Investigations	effective 15 Apr 2002	X
Provisional Rules on Price Undertakings in Antidumping Investigations	effective 15 Apr 2002	X
Provisional Rules on New Shipper Review in Antidumping Investigations	effective 15 Apr 2002	X
Provisional Rules on Refund of Antidumping Duty	effective 15 Apr 2002	X
Provisional Rules on Interim Review of Dumping and Dumping Margin	effective 15 Apr 2002	X
Rules on Investigations and Determinations of Industry Injury for Antidumping	effective 15 Jan 2003	X
Rules on Public Hearings with regard to Investigations of Injury to Industry	effective 15 Jan 2003	X
Regulations on Anti-subsidy	effective 01 Jan 2002	X
Provisional Rules for Initiation of Countervailing Investigation	effective 13 Mar 2002	X
Provisional Rules for Questionnaire in Countervailing Investigation	effective 15 Apr 2002	X
Provisional Rules for On-the-spot Verification of Countervailing Investigation	effective 15 Apr 2002	X
Provisional Rules for Conduct of Public Hearing in Countervailing Duty Investigation	effective 13 Mar 2002	X
Rules on Investigations and Determinations of Industry Injury for Countervailing Measures	effective 15 Jan 2003	X
Regulations on Safeguard	effective 01 Jan 2002	X
Provisional Rules on Initiation of Safeguard Investigations	effective 13 Mar 2002	X
Provisional Rules on Hearing in Safeguard Investigations	effective 13 Mar 2002	X
Rules on Investigations and Determinations of Industry Injury for Safeguard	effective 15 Jan 2003	X
Provisions of the Supreme People's Court on Certain Issues Concerning the Applicability of Law in the Hearing and Handling of Antidumping Administrative Cases	effective 01 Jan 2003
Provisions of the Supreme People's Court on Certain Issues Concerning the Applicability of Law in the Hearing and Handling of Anti-subsidy Administrative Cases	effective 01 Jan 2003

Rules of Origins

Regulation	Date	Notified to WTO
Proclamation of the General Administration of Customs of the People's Republic of China on Establishment of Pre-determination on Origin of Imports	effective 11 Dec 2001	X
Provisional Rules of Origin for Imports under the First Agreement on Trade Negotiations among Developing Member Countries or the Economic and Social Commission for Asia and the Pacific	effective 01 Jan 2002	X

Customs Valuation

Regulation	Date	Notified to WTO
Rules on Determination on Customs Valuation of Imported and Exported Goods	effective 01 Jan 2002	X
The Customs Regulations of the People’s Republic of China Regarding Determination on Customs Value of Royalties and License Fees Related to the Imported Goods	effective 01 July 2003	X

ii. Trade in Services

Regulation	Date	Notified to WTO
Regulations on Administration of Foreign-Funded Financial Institutions	effective 01 Feb 2002	X
Regulations on International Maritime Transportation	effective 01 Feb 2002	X
Regulations on Administration of Travel Agencies	amended on 11 Dec 2001	X
Measures on the Trial of Foreign-Invested Merchandising Enterprises	effective 25 June 1999	X
Measures for Administration of Sino-Foreign Contractual Distribution Ventures of Audio-Visual Products	effective 10 Dec 2001	X
Provisional Regulations Governing the Foreign Invested Movie Theater	effective 25 Oct 2000	X
Rules for Establishing Foreign-Invested Securities Companies	effective 01 June 2002	X
Rules for Establishing Foreign-Invested Fund Management Companies	effective 01 June 2002	X
Proclamation by the People's Bank of China on the Related Issues of Foreign-Funded Financial Institutions' Market Access	effective 09 Dec 2001	X
Regulations on Administration of Foreign Funded Insurance Companies	effective 01 Feb 2002	X
Measures for Administration of Representative Offices of Foreign-Capital Financial Institutions in China	effective 18 July 2002	X
Provisions on Administration of Foreign Investment in Road Transport Sector	effective 20 Nov 2001	X
Provisions on Administration of International Freight Forwarding Agency Enterprises with Foreign Investment	effective 1 Jan 2003	X
Regulations on Administration of Foreign Invested Telecommunications Enterprises	effective 1 Jan 2002	X
Regulations on Exploitation of Offshore Petroleum Resources in Cooperation with Foreign Enterprises	effective 23 Sep 2001	X
Regulations on Exploitation of On-shore Petroleum Resources in Cooperation with Foreign Enterprises	effective 23 Sep 2001	X
Supplementary Circular Concerning the Handling of Delivery Services of Inward-and–Outward Letters and Articles with Letter Nature	effective 5 Sep 2002	X
Implementing Rules of the Regulations of the People’s Republic of China on International Maritime Transportation	effective 1 Mar 2003	X
Measures for the Administration of Foreign-invested International Freight Forwarding Agencies	effective 10 Jan 2003	X
Measures Governing Foreign Invested Distribution Enterprises for Books, Newspapers and Periodicals	effective 1 May 2003	X
Interim Regulations on the Establishment of Travel Agencies with Foreign Majority Ownership and Wholly Owned by Foreign Investors	effective 11 July 2003	X
Administrative Rules Governing the Auto Financing Companies 260	effective 3 Oct 2003	X
Regulations of the People’s Republic of China on Chinese-Foreign Cooperation in Running Schools	effective 1 Sep 2003	X
Implementing Rules of the Regulations on the Administration of Foreign-funded Financial Institutions	effective 1 Feb 2002
Provisional Rules on the Establishment of Sino-Foreign Foreign Trade Companies	effective 2 Mar 2003
Rules Governing the Foreign Invested Urban Planning Service Enterprises	effective 1 May 2003
Regulations on the Administration of Foreign Invested Architectural and Engineering Enterprises	effective 1 Dec 2002
Regulations on the Administration of Foreign Invested Construction Enterprises	effective 1 Dec 2002
Notice on Issues Relating to the Experimental Establishment of Foreign Invested Logistic Enterprises	effective 20 July 2002
Implementation Rules for the Administrative Measures on Auto Financing Companies	effective 12 Nov 2003
Regulations on the Administration of Representative Office of Foreign Law Firms	effective 1 Jan 2002
Implementation Rules for the Regulations on the Administration of Representative Office of Foreign Law Firms	effective 1 Sep 2002
Measures for Administration of Representative Offices of Foreign Insurance Institutions	effective 1 Mar 2004
Implementation Rules for the Regulations on the Administration of International Freight Forwarding Agencies	effective 1 Jan 2004 after amendment
Provisional Measures on the Administration of Domestic Securities Investment of Qualified Foreign Institutional Investors (QFII)	effective 1 Dec 2002

iii. Investment Regime

Regulation		Date		Notified to WTO
Law on Chinese-Foreign Equity Joint Venture		amended on 15 Mar 2001		X
Regulations for the Implementation of the Law on Sino-Foreign Equity Joint Venture		amended on 22 July 2001		X
Law on Chinese-Foreign Contractual Joint Venture		amended on 31 Oct 2000		X
Regulations for the Implementation of the Law on Sino-Foreign Contractual Joint Venture		effective 04 Sep 1995		X
Law on Foreign Capital Enterprises		amended on 31 Oct 2000		X
Regulations on the Implementation of the Law on Foreign Capital Enterprise		amended on 12 Apr 2001		X
	Industrial Catalogue for Foreign Investment.		effective 1 Apr 2002
	Provisions on Guiding Foreign Investment Direction		effective 1 Apr 2002		X

iv. Intellectual Property Rights Protection

Regulation		Date		Notified to WTO
	Copyright Law		amended on 27 Oct 2001		X
	Patent Law		amended on 25 Aug 2000		X
	Trademark Law		amended on 27 Oct 2001		X
	Implementing Rules of the Copyright Law		amended on 15 Sep 2002		X
	Implementing Rules of the Patent Law		amended on 01 Feb 2003		X
	Implementing Rules of the Trademark Law		amended on 15 Sep 2002		X
	Regulations on Protection of Computer Software		amended on 01 Jan 2002		X
	Regulations on Protection of New Varieties of Plants		effective 01 Oct 1997		X
	Regulations on Protection of Layout Designs of Integrated Circuits		effective 01 Oct 2001		X
	Rules for Implementing the Regulations on the Protection of Layout-Designs of Integrated Circuits		effective 01 Oct 2001		X
	Regulations on Intellectual Property Rights Protection by the Customs		effective 01 Mar 2004 after amendment

Committee participation

The submission of notifications by Members and reactions thereupon constitute a primary platform of exchanges among Members in each WTO committee, and serve the purpose of ensuring transparency in the multilateral trading system. All 12 Agreements listed in Annex 1A of the WTO Agreement, as well as the GATT 1994, including the six Understandings interpreting certain articles thereof, and the Agreements on Services and TRIPS contain provisions on specific notification obligations and procedures. Members, on a one-time, regular or periodic basis, are required to notify relevant committees of their trade-related laws and regulations, new or amended, actions taken, measures maintained, responses to questionnaire or checklists of issues, etc. Some notifications are mandatory, and some are of an ad hoc nature. In its 1996 report, the Working Group on Notification Obligations and Procedures under the Council for Trade in Goods categorized notification obligations as follows:

The Group observed that there were three types of notification obligations and procedures in Annex 1A: (i) ad hoc notifications which are specifically required when certain actions are taken by a concerned Member; (ii) "one-time only" notifications, most of which are required to provide information on the situations existing at the entry into force of the WTO Agreement for a Member, or within a specified period calculated from that date; and (iii) the regular or periodic notification obligations (semi-annual, annual, biennial, triennial). Of the 175 notification obligations or procedure found in Annex 1A, twenty-six were deemed to be of the regular or periodic type.[10]

Notification obligations can be burdensome, particularly for developing countries, as they require consistent efforts and considerable resources on the part of the authorities responsible for providing information and developing countries can experience great difficulty in obtaining accurate data and information. In recent years, more attention has been given to the low compliance rate of developing countries with WTO notification obligations and the need to step up efforts in technical assistance to some developing country Members has been recognized.

Upon accession, aside from the colossal legislative work that China embarked on, China was faced with an enormous task of fulfilling the basic WTO notification obligations as part of its positive participation in WTO committee activities. The following briefly summarizes the WTO notification obligations that are applicable to China pursuant to specific WTO agreements.

Agreement on Agriculture

1. Article 18.2 requires notification by Members with tariff and other quota commitments recorded in Section I-B (or Section I-A) of Part I of their Schedules for the products concerned in "Table MA:1" (the administration of tariff quota) and "Table MA:2" (imports under tariff and other quota commitments).

2. Article 18.2 requires notification by all Members of "Table DS:1" (domestic support) annually. (Least-developed country Members may notify every second year).

3. Article 18.2 requires notification by all Members of "Table ES:1" (export subsidies) whether or not a base or annual commitment level is shown in Section II of Part IV of their Schedules.

Agreement on Implementation of Article VI

of the GATT 1994 (Anti-dumping)

1. Article 16.4 requires notification of a semi-annual report on anti-dumping actions taken within the preceding six months regardless of whether any such actions have been taken.

2. Article 16.4 also requires Members to report without delay all preliminary or final actions taken with respect to anti-dumping measures.

3. Article 18.5 requires the notification of laws, regulations and administrative procedures on antidumping. A notification must be made even when a Member does not maintain such laws/regulations.

Agreement on the Implementation of Article VI

of the GATT 1994 (Customs Valuation)

1. Article 22.1 requires the notification of laws and regulations or a communication indicating that the legislation notified under the Tokyo Round Agreement on Customs Valuation remains valid under the WTO Agreement on Customs Valuation.

2. A response to the checklist of issues under G/VAL/5 is required.

Agreement on Import Licensing Procedures

1. Article 7.3 requires a reply to the questionnaire on import licensing procedures by September 30 of each year.

2. Articles 1.4(a)/8.2(b) require the notification of the names of publications in which rules and information concerning import licensing procedures are published, as well as the full text of the relevant laws and regulations.

Agreement on Rules of Origin

1. Article 5.1 requires notification of existing non-preferential rules of origin.

2. Paragraph 4 of Annex II requires notification of existing preferential rules of origin.

Agreement on Safeguards

1. Article 12.6 requires the notification of laws, regulations and administrative procedures concerning safeguards.

2. Article 12.1(a) requires the notification of the initiation of a safeguard investigation.

3. Article 12.1(b) requires the notification of the findings of serious injury or threat thereof caused by increased imports.

4. Article 12.1(c) requires the notification of the decisions to apply safeguard measures.

5. Article 12.4 requires the notification of the application of provisional measures.

Agreement on Sanitary and Phytosanitary Measures

1. Paragraph 5 of Annex B requires the notification of proposed SPS regulations or changes to regulations, which are not the same as an international standard and have a significant effect on trade.

2. Paragraph 6 of Annex B requires the notification of emergency measures. (Annex B, paragraph 6 of the SPS Agreement).

Agreement on Subsidies and Countervailing Measures

1. Article 25.1 requires the annual notifications on subsidies not later than June 30 of each year. Article 25.6 provides that where a Member considers that there are no measures requiring such notification, a "nil" return is necessary.

2. Article 25.11 requires the semi-annual report of countervailing duty actions taken regardless of whether any such actions have been taken.

3. Article 32.6 requires the notification of laws and regulations concerning subsidies and countervailing measures. A notification must be made even where a Member does not maintain such laws/regulations.

Agreement on Technical Barriers to Trade

1. Article 15.2 requires the notification of measures in existence or taken to ensure the implementation and administration of this Agreement.

2. Notifications by standardizing bodies in Member countries whether to accept the Code of Good Practices are required.

3. Article 2.9, 2.10, 5.6, and 5.7 require the notification of draft technical regulations and conformity assessment procedures.

Agreement on Trade-Related Investment Measures

1. Article 5.1 requires the notification of trade‑related investment measures Members were applying that were not in conformity with the Agreement on a "one-time" basis within 90 days of the date of entry into force of the WTO Agreement.

2. Article 6.2 requires the notification of publications in which TRIMS may be found.

Agreement on TRIPS

1. Responses to the checklist of issues on enforcement under IP/C/5 are required.

2. Article 63.2 requires the notification of laws and regulations related to intellectual property rights protection.

3. Article 69 requires the notification of contact points for the purposes of cooperating with each other with a view to eliminating international trade in goods infringing intellectual property rights.

Agreement on Textiles and Clothing

1. Article 6.1 requires the notifications indicating whether or not the Member wishes to retain the right to use the transitional safeguard mechanism.

2. Notifications under Articles 2.6/2.7 (first integration stage), Articles 2.8(a)/2.11 (second integration stage) and Articles 2.8(b)/2.11 (third integration stage) are required by Members which retain their right to use the transitional safeguard mechanism under Article 6.1.

3. Article 3.1 requires the notifications by Members that maintain quantitative restrictions on textile and clothing products, other than those under the MFA.

GATT 1994 Article XVII:4(a) and the Understanding on the

Interpretation of this Article (State Trading Enterprises)

1. New and full responses to the questionnaire on state trading are required triennially. Where a Member considers that there are no activities requiring such notification, a "nil" return is necessary. An updating notification covering any changes are required in every of the intervening years.

Agreement on Preshipment Inspection

1. Article 5 requires the notification of laws and regulations concerning preshipment inspection.

Decision on Notification Procedures for Quantitative Restrictions

1. Under G/L/59, complete notification of quantitative restrictions Members maintain are required by January 31, 1996 and at two-yearly intervals thereafter. Changes to the quantitative restrictions shall be notified as and when these changes occur.

Agreement on Services (GATS)

1. Paragraph 3 of Article III requires the notification of any new (or any changes to existing) laws, regulations or administrative guidelines which significantly affect trade in services covered by specific commitments under this Agreement.

When China's compliance with the above notification obligations is compared with the total number of Members who filed similar notifications in the relevant committees, it is evident that China registered a reasonable record of making required notifications in the first two years of its WTO membership. See Appendix 9. In many committees, the low level of compliance by Members with notification obligations has been a major preoccupation. For example, at the Committee on Import Licensing, as noted in its 2003 annual report, by October 2003, 27 members had not submitted any notification since joining the WTO under the Agreement on Import Licensing which requires the mandatory notifications of laws and regulations, as well as annual replies to the questionnaire. Nor have these Members informed the Secretariat of any difficulties that would interfere with their ability to notify, or of any technical assistance needs to improve their compliance.[11] By contrast, and as would be expected from a major trading nation, China has submitted most of the required notifications, both mandatory and ad hoc, to the various committees.

Even so, China fell short in some respects. At regular committee meetings, while recognizing significant efforts by China to fulfil the notification obligations, some Members also noted problems associated with China’s notification practices, as summarized below:

Subsidies and Countervailing Measures

· China has failed to submit the subsidies notification pursuant to Article 25.1 of the Agreement on SCM since accession, a mandatory notification required on an annual basis. The United States voiced its concern over this issue at the committee meeting held on May 8, 2003:

The US delegate stated that his delegation would like China to confirm that it would meet this year's deadline of 30 June for its subsidy notification. The US delegate stated that China's failure to participate in the notification process undermined the transparency that Members had worked to develop and hampered the ability of Members to confirm that China was complying with its obligations under the Agreement.[12]

· Neither has China submitted the semi-annual report on countervailing duty action taken during the second half of 2002 and the first half of 2003.[13] Although China has not, since accession, initiated any anti-subsidy investigation, a nil notification is necessary pursuant to Article 25.11 of the Agreement on Subsidies and Countervailing Measures.

Sanitary and Phytosanitary Measures

· China made 140 notifications of existing SPS measures upon accession and 42 notifications of new measures within the first two years of WTO membership. However, as noted by Members (such as Canada), there were still certain measures not notified. Among those that were notified, some notifications were circulated very close to the date of entry into force, leaving insufficient time for comment and for comments to be taken into consideration. Moreover, there was a lack of feedback on comments made to the Chinese authorities on SPS notifications.[14]

Technical Barriers to Trade

· China made 40 notifications on technical regulations within the first two years of WTO Membership. Nevertheless, as pointed out by Members (such as the US), there was still a lack of notification of all of China's proposals as required under the Agreement, since not all of the ministries in China had notified their proposals.[15]

Technical assistance program from the WTO and member nations

(a)

WTO

The provision of technical assistance and training to developing countries and economies in transition has been a consistent mission of the WTO, and its predecessor the GATT. Historically, they provided such assistance in order to improve developing countries' understanding of the rights and obligations of WTO/GATT membership and to expand their capacity to participate fully. WTO technical assistance is supported by the WTO's regular budget as well as from individual member contributions for that purpose.

The technical assistance activities of the WTO cover broad areas and are provided in various forms. The WTO describes its main technical assistance activities as follows:

Seminars: organized at a national, subregional or regional level. Some seminars are specialized -- focusing on a narrowly defined subject, e.g. anti-dumping, customs valuation, subsidies and countervailing measures -- while others cover broader htmects of the multilateral trading system, e.g. the functioning of the WTO and Multilateral Trade Negotiations.

Workshops: generally focused on a particular area of trade policy, they cover in addition to theoretical explanations, case studies and simulation exercises.

Technical missions: designed to assist countries in drafting and preparing legislation and regulations, and in meeting notification requirements as well as to facilitate the understanding of specific trade policy issues of particular interest to them.

Briefing sessions: generally held for Geneva-based delegations and visiting officials to up-date them on recent developments in the work programme carried out by the World Trade Organization.

Technical cooperation in electronic form: in order to facilitate the dissemination of information on the WTO multilateral trading system, computer-based interactive tools are being developed.[16]

The WTO also conducts training courses for government officials of developing and least-developed countries. These courses cover different areas, such as trade policy, trade negotiation skills, regionalism, agriculture, dispute settlement, etc. The WTO, however, does not conduct training activities for private groups or individuals.

Various WTO agreements and decisions mandate that the WTO carry out technical cooperation activities.[17] As reported by the WTO, "the delivery of WTO technical assistance is designed to assist developing and least-developed countries and low-income countries in transition to adjust to WTO rules and disciplines, implement obligations and exercise the rights of membership, including drawing on the benefits of an open, rules-based multilateral trading system."[18] The Doha Ministerial Declaration clarified and further enhanced the mandate to provide technical assistance.[19] Following the Doha Ministerial meeting in November 2001, the WTO's General Council "approved a revised budget proposal encompassing, inter alia, the doubling of training capacities over a transitional year allowing it, in principle, to be fully operational in 2003."[20]

At the Doha Ministerial Conference, trade ministers recognized that technical cooperation and capacity building were "core elements of the development dimension of the multilateral trading system."[21] They also acknowledged that it was important to have coherence and coordination of technical assistance and capacity building activities at three levels: the national level in beneficiary countries, the international level, and the inter-agency level. Because the magnitude of the proposed undertaking required the pooling of resources, "the WTO and OECD Secretariats, along with a number of interested delegations from TRTA/CB [i.e., trade-related technical assistance and capacity building] providers joined their efforts to create the Doha Development Agenda Trade Capacity Building Database (TCBDB)."[22] This database was established with the purpose of providing information on trade-related technical assistance and capacity building projects. In May 2002 and March 2003, the Director-General of the WTO and the Secretary-General of the OECD sent out requests to countries and multilateral/regional agencies for information about technical assistance projects. Based on the data reported by these entities, the TCBDB collects detailed information concerning more than 8000 activities and projects, both national and regional, provided by "39 bilateral donor countries and multilateral agencies" over the 2001 to early 2003 period.[23]

For purposes of the TCBDB database, TRTA/CB activities are defined as those intended to enhance the ability of the recipient country to:

· formulate and implement a trade development strategy and create an enabling environment for increasing the volume and value-added of exports, diversifying export products and markets and increasing foreign investment to generate jobs and trade; or

· stimulate trade by domestic firms and encourage investment in trade-oriented industries; or

· participate in and benefit from the institutions, negotiations and processes that shape national trade policy and the rules and practices of international commerce.[24]

The TRTA/CB activities are further classified under two main categories --"trade policy and regulations" and "trade development" -- which are described as follows:

· Trade policy and regulations covers support to aid recipients’ effective participation in multilateral trade negotiations, analysis and implementation of multilateral trade agreements, trade policy mainstreaming and technical standards, trade facilitation including tariff structures and customs regimes, support to regional trade arrangements and human resources development in trade

· Trade development covers business development and activities aimed at improving the business climate, access to trade finance, and trade promotion in the productive sectors (agriculture, forestry, fishing, industry, mining, tourism, services), including at the institutional and enterprise level.[25]

The WTO and OECD assert that data reported in the TCBDB "can be considered as representative, as almost all the main TRTA/CB providers participate in the Trade Capacity Building Database."[26]

As a self-selected developing country, China is eligible for technical assistance from the WTO. Both before and since its accession to the WTO, China has been the recipient of substantial technical assistance from the WTO, as well as from other multilateral organizations and from individual countries. The TCBDB database includes extensive information about trade-related technical assistance and capacity building projects that were, or are, focused on China as a beneficiary country. The TCBDB shows that, during the 2001 to early 2003 period, China was a beneficiary of TRTA/CB activities and projects provided by the following 22 donor countries and multilateral agencies:

Multilateral Agencies

· APEC (Asia-Pacific Economic Co-operation)

· AsDB (Asian Development Bank)

· ESCAP (UN Economic and Social Commission for Asia and the Pacific)

· IDA (International Development Agency)

· ITC (International Trade Centre UNCTAD/WTO)

· OECD (Organisation for Economic Co-operation and Development)

· UNDP (United Nations Development Programme)

· UNIDO (UN Industrial Development Organisation)

· WTO (World Trade Organization)

Donor Countries

· Australia

· Belgium

· Canada

· European Commission

· France

· Germany

· Italy

· Japan

· New Zealand

· Norway

· Sweden

· Switzerland

· United States

Tables listing all the TRTA/CB activities and projects reported in the TCBDB for which China was a beneficiary are attached as Appendix 10. The following table, identifying those TRTA/CB activities and projects provided by the WTO to China, illustrates the degree to which China has been the beneficiary of extensive and broadly-ranged technical and capacity building assistance. As shown by the table, WTO technical assistance to China has covered a broad range of topics, including SPS (sanitary and phyto-sanitary measures), TBT (technical barriers to trade), trade facilitation, customs valuation, dispute settlement, TRIPS (trade-related intellectual property rights), agriculture. services, industrial tariff negotiations, rules (safeguards, antidumping, and subsidies and countervailing measures), trade and the environment, trade and competition, trade and investment, government procurement, and trade-related training.

WORLD TRADE ORGANIZATION (WTO)

Technical and Capacity Building Assistance Provided to China: 2001 -- Early 2003

			Trade Category				WTO Project / Activity				Amount ($ '000)				Start Date -End Date
			Trade Mainstreaming in PRSPs/dev. plans^*				Symposium: APEC Informal Group on Implementation of WTO Obligations (Dalian): a presentation on the role that the WTO could play on capacity building in APEC developing countries				4.68				18/08/2001 - 18/08/2001
			Trade Mainstreaming in PRSPs/dev. plans				National seminar: Regional Economic Cooperation and China				3.04				19/06/2001 - 20/06/2001
			Trade Mainstreaming in PRSPs/dev. plans				Conference: Development of Western China								13/06/2001 - 15/06/2001
			Trade Mainstreaming in PRSPs/dev. plans				National Conference: The entry of China into the WTO: economical, and ecological challenges and opportunities				0.20				20/05/2002 - 21/05/2002
			Trade Mainstreaming in PRSPs/dev. plans				Symposium: International Symposium on WTO and Legal Services								18/09/2002 - 20/09/2002
			Trade Mainstreaming in PRSPs/dev. plans				National seminar: WTO Negotiations: new WTO/ADB/MOFTEC/Beijing University Training Programme. 2002 Beijing International Forum				4.18				11/12/2002 - 20/12/2002
			Trade Mainstreaming in PRSPs/dev. plans				Conference: Shanghai WTO Affairs Consultations Center Forum								25/11/2001 - 25/11/2001
			Trade Mainstreaming in PRSPs/dev. plans				Conference: Shanghai WTO Affairs Consultations Center Forum								24/11/2001 - 24/11/2001
			SPS and TBT				Regional workshop: Codex Committee on Food Export and Import Inspection and Certification Systems (CCFICS).				0.54				25/02/2002 - 01/03/2002
			SPS and TBT				Regional seminar: WTO/ESCAP/ASEAN Regional Seminar on TBT for South and South-East Asian economies.				4.05				29/10/2002 - 31/10/2002
			SPS and TBT				National seminar: SPS for Chinese officials at the Ministry of Agriculture: Rules and Procedures SPS; Dispute settlement and SPS; Accession and SPS; Relation SPS/TBT.								16/05/2001 - 17/05/2001
			SPS and TBT				National seminar: SPS for 16 Officials from the State General Administration for Quality supervision, inspection and quarantine.								16/11/2001 - 21/11/2001
			Trade Facilitation				Regional workshop: Market Access and trade facilitation. To lecture how to use two of the analytical tools at disposal at the WTO , the Integrated Data Base and the Consolidated Tariff Schedules.				0.52				19/06/2001 - 21/06/2001
			Trade Facilitation				Regional workshop: Trade Facilitation for Asia/ Pacific.				4.66				27/05/2003 - 29/05/2003
			Customs Valuation				Conference: 7th APEC Customs-Business Dialogue: "A New Round of WTO Negotiations - Implications of WTO on Customs Facilitation"								13/08/2001 - 14/08/2001
		Accession				National seminar: Joint project of the World Bank and the Development Centre of State Council and seminar on the WTO Accession, Policy Reform and Corporate Strategies for Globalization, Poverty Reduction in China.								26/10/2001 - 27/10/2001
		Accession				Colloquium: Project on WTO Accession, Policy Reform and Poverty Reduction in China.								06/05/2001 - 07/05/2001
		Accession				Symposium: Advisory Services to the reform of Commercial Laws in China, Legal advice to the Financial and Economic Committee of the National People's Congress, Symposium on the need for new legislation after China's accession to the WTO.								23/04/2001 - 26/04/2001
		Dispute Settlement				National seminar: Dispute Settlement Procedures and Practices.				7.95				02/07/2002 - 05/07/2002
		Dispute Settlement				Regional workshop: Dispute Settlement for 16 Asian Developing Economies.								17/07/2001 - 20/07/2001
		Dispute Settlement				Regional seminar: Second WTO/ESCAP Dispute Settlement Procedures and Practices and DSU Negotiations for Asian Countries (II).				3.79				04/06/2002 - 07/06/2002
		Dispute Settlement				Regional workshop: First WTO/ESCAP Dispute Settlement Procedures and Practices and DSU Negotiations for Asian Countries (I).								10/04/2002 - 12/04/2002
		Dispute Settlement				Regional workshop: Third WTO/ESCAP Dispute Settlement Procedures and Practices, and DSU Negotiations for Asia.				3.24				10/03/2003 - 13/03/2003
		Dispute Settlement				National training course: WTO Dispute Settlement Procedures and Practices.				0.12				24/09/2001 - 28/09/2001
		Dispute Settlement				Specialized Course: 5th Specialized Course on Dispute Settlement (English).								30/06/2003 - 04/07/2003
		Dispute Settlement				2nd Dispute Settlement Course: Course on Dispute Settlement Rules and Procedures.								08/04/2002 - 12/04/2002
		Dispute Settlement				National seminar: Dispute Settlement for four Vice-Ministers (Vice-Presidents and Presidents of Chinese Courts, including the Supreme Court).								11/10/2001 - 11/10/2001
		Trade-Related Intellectual Property Rights				Technical mission: Meeting on IPR Legislation of China and the WTO TRIPS Agreement								08/05/2002 - 10/05/2002
		Trade-Related Intellectual Property Rights				Conference: WHO seminar on "Health Implications of China's Accession to the WTO"				18.55				28/01/2002 - 01/02/2002
		Agriculture				Regional workshop: The Agreement on Agriculture and on-going negotiations for South Asia: "WTO/UNESCAP Regional Training Workshop on Multilateral Negotiations on Agriculture in the WTO" (merged with workshop for East Asia).				2.39				21/07/2003 - 23/07/2003
		Agriculture				National seminar: Negotiations on Agriculture				1.07				22/04/2002 - 26/04/2002
		Agriculture				Symposium: FAO Intergovernmental Group on Citrus symposium: discuss SPS-related issues				3.69				14/05/2001 - 15/05/2001
		Services				National seminar: International Development Trends of Services Sectors: Engineering, Culture				0.32				29/10/2001 - 29/10/2001
		Services				Conference: "Local Vision, Global Mission" Second China Telecommunications Roundtable				0.46				20/09/2001 - 21/09/2001
		Services				Symposium: Legal Perspective of Cross Border Movement of Natural Persons				0.13				27/03/2002 - 28/03/2002
		Services				National workshop: The GATS and on-going negotiations including the scheduling of commitments				6.12				26/08/2003 - 28/08/2003
		Services				National seminar: GATS and cultural and educational services				7.58				27/05/2001 - 31/05/2001
		Services				Regional workshop: GATS								10/09/2001 - 12/09/2001
		Services				National seminar: Trade in Services and GATS								10/12/2001 - 14/12/2001
		Services				National seminar: Trade in Services: Expert services in the General Service Trade Convention, Law regulations about expert service, The trend of legislation and administrative regulation about expert service in other countries.								19/11/2001 - 19/11/2001
		Services				Workshop: Scheduling of Commitments under GATS.				4.74				27/11/2002 - 29/11/2002
		Tariff Negotiations - Non-Agricultural Market Access				National workshop: WTO Notification obligations for China								09/09/2003 - 09/09/2003
		Tariff Negotiations - Non-Agricultural Market Access				Regional workshop: Implementation of the Textiles and Clothing Agreement for selected South Asian and new Asian textile exporting countries.				1.87				09/10/2003 - 10/10/2003
		Tariff Negotiations - Non-Agricultural Market Access				Conference: China International Cotton Conference: Textile and Clothing issues and the implementation of the Agreement on Textiles and Clothing				4.85				26/06/2001 - 29/06/2001
		Tariff Negotiations - Non-Agricultural Market Access				Symposium: WTO Study Tour by members of the National Copyright Association in China (NCAC) - Presentations on Accession, Dispute Settlement, Intellectual Property, Copyright, Enforcement, Notifications and Reviews.								19/07/2001 - 19/07/2001
		Tariff Negotiations - Non-Agricultural Market Access				National seminar: Agriculture, TBT, SPS, and special economic zones								13/12/2001 - 15/12/2001
		Tariff Negotiations - Non-Agricultural Market Access				National seminar: Dispute Settlement, WTO Legal htmects, Intellectual Property Rights, and implementation of WTO Agreements - Shenzen								07/12/2001 - 07/12/2001
		Tariff Negotiations - Non-Agricultural Market Access				National seminar: The Multilateral Trading System and WTO Agreements (Kunming)								03/12/2001 - 05/12/2001
		Tariff Negotiations - Non-Agricultural Market Access				National training course: The Multilateral Trading System and WTO Agreements (Qingdao)								06/12/2001 - 07/12/2001
		Tariff Negotiations - Non-Agricultural Market Access				Conference: China 2002 Annual Conference of the Boao Forum for Asia								11/04/2002 - 14/04/2002
		Tariff Negotiations - Non-Agricultural Market Access				Symposium/meeting: 35th Annual Meeting of the Board of Governors of the Asian Development Bank and signature of the MOU between the ADB and the WTO; Consultations with MOFTEC				9.40				09/05/2002 - 13/05/2002
		Tariff Negotiations - Non-Agricultural Market Access				National Symposium: Shantou University National Symposium on the WTO: Rules, Implementation, Impact on the Chinese Economy.								04/02/2002 - 05/02/2002
		Tariff Negotiations - Non-Agricultural Market Access				Regional workshop: Presentation of the Integrated Data Base (IDB) and related topics; Presentation of the Consolidated Tariff Schedule (CTS) project; Workshop on the IDB dissemination tools.				0.34				16/02/2001 - 19/02/2001
		Tariff Negotiations - Non-Agricultural Market Access				Technical mission: Legal Advice on "Uniform Implementation of WTO Agreements on the Entire Customs Territory".								19/04/2001 - 20/04/2001
		Tariff Negotiations - Non-Agricultural Market Access				Regional workshop: Market Access Negotiations and IDB/CTS databases for East Asia and the Pacific (14-17 July) - National consultations (18 July).				5.90				14/07/2003 - 18/07/2003
		Tariff Negotiations - Non-Agricultural Market Access				National seminar: To train 20 middle-level officials from various Chinese governmental organizations on WTO Agreements.								25/06/2001 - 29/06/2001
		Rules				Regional workshop: Anti-dumping for East Asian economies.				9.89				02/12/2002 - 05/12/2002
		Rules				National training course: WTO Agreements with special reference to the SCM Agreement (Ji Lin).								06/08/2001 - 10/08/2001
		Rules				National seminar: WTO Rules (Anti-Dumping, Safeguards, Subsidies and Countervailing Measures).								24/09/2002 - 25/09/2002
		Rules				Regional workshop: Injury Investigation and Determination in Anti-Dumping.				3.49				10/12/2001 - 12/12/2001
		Rules				Regional workshop: Subsidy disciplines for selected Asian countries.								18/11/2003 - 20/11/2003
		Rules				National seminar: Briefing Session on WTO Agreements for Vice Minister Long Yong Tu: 1. Anti-Dumping, 2. WTO basic rules of transparency and MFN exemptions, 3. Domestic preferential arrangements within a country, 4. Free-Trade areas.								20/12/2001 - 20/12/2001
		Rules				National training course: Training Session on the practice of EU Anti-dumping and Anti-subsidy policy for 22 Officials from the State Economic and Trade Commission of China.								28/09/2001 - 28/09/2001
		Negotiation Training				Regional training course: WTO, UNESCAP, MOFCOM, PKU -- Advanced Course for Asian and Pacific Senior Government Officials on the Doha Development Agenda Negotiations.				7.96				27/10/2003 - 01/11/2003
		Negotiation Training				Regional workshop: Trade Negotiations for Asian economies.				5.33				17/12/2002 - 20/12/2002
		Negotiation Training				Regional workshop: Trade Negotiations Skills for selected Asian and Pacific Countries.				3.27				24/03/2003 - 28/03/2003
		Negotiation Training				Specialized Course: 2nd Specialized Course on Trade Negotiations (English).								16/06/2003 - 27/06/2003
		Trade and Environment				National seminar: Trade and Environment								20/11/2002 - 21/11/2002
	Trade and Environment				Regional seminar: Trade and Environment for Least-Developed and Developing Asian Countries.				3.07				27/03/2001 - 31/03/2001
	Trade and Environment				Regional seminar: Trade and Environment for Asian economies.				5.48				13/05/2002 - 15/05/2002
	Trade and Competition				National workshop: Singapore Issues: Competition Policy				6.22				30/07/2002 - 31/07/2002
	Trade and Competition				Regional seminar: Trade and competition policy in the WTO and sessions on specific enforcement policy issues in developing economies.				0.08				30/07/2001 - 01/08/2001
	Trade and Competition				Regional workshop: Trade and Competition Policy for Asia and the Pacific.				7.30				21/01/2003 - 23/01/2003
	Trade and Investment				Regional seminar: APEC TRIMs seminar (Xiamen): An introduction to TRIMs Agreement and the trend of future WTO investment discussions - Discussions in the WTO on TRIMs implementation and meeting the development, financial and trade needs of developing economies.								09/09/2001 - 10/09/2001
	Trade and Investment				National workshop: Singapore Issues: Trade and Investment				11.00				13/05/2002 - 14/05/2002
	Trade and Investment				Regional Seminar: Singapore/WTO/UNCTAD Joint Regional Training Course: Trade and Investment.								06/05/2002 - 08/05/2002
	Trade and Investment				Regional seminar: Trade and Investment Policy seminar at Senior Officials level.				4.76				27/06/2002 - 27/06/2002
	Transparency and Government Procurement				Regional workshop: Workshop on Accession to the Agreement on Government Procurement.				6.47				27/05/2002 - 28/05/2002
	Trade-Related Training Education				Regional workshop: WTO/UNITAR workshop on the Status of the Doha Development Agenda Negotiations, Agriculture, S&D, Implementation issues, Services, and Dispute Settlement.				0.30				29/06/2003 - 03/07/2003
	Trade-Related Training Education				Regional workshop: Training of Trainers for Asia and the Pacific.				3.11				12/05/2003 - 30/05/2003
	Trade-Related Training Education				Regional training course: 3rd WTO/ESCAP Short Trade Policy Course for ESCAP Members.								18/03/2002 - 29/03/2002
	Trade-Related Training Education				Regional training course: 4th WTO/ESCAP Short Trade Policy Course for ESCAP Members.				0.64				18/11/2002 - 29/11/2002
	Trade-Related Training Education				Regional training course: IDLI Trade Law Course for Developing countries in Asia and the Pacific.				2.27				21/10/2002 - 08/11/2002
	Trade-Related Training Education				Technical mission: Establishment of a WTO Reference Centre. Training in the use of WTO information resources (web-sites and CD-ROMs)								07/04/2001 - 08/04/2001
	Trade-Related Training Education				Conference: Uses of WTO Reference Centres (Haikou)								05/06/2001 - 06/06/2001
	Trade-Related Training Education				Conference: Uses of WTO Reference Centres (Shanghai)								07/06/2001 - 08/06/2001
	Trade-Related Training Education				Technical mission: Establishment of a WTO Reference Centre at the Shenzhen Academy of Standardization and Coding Technology. Training in the use of WTO information resources (web-sites and CD-ROMs)								05/04/2001 - 06/04/2001
	Trade-Related Training Education				Technical mission: Establishment of WTO Reference Centre for the Ministry of Foreign Trade and Economic Cooperation				3.35				11/03/2002 - 14/03/2002
	Trade-Related Training Education				Regional training course: Second WTO / ESCAP Trade Policy Course on the WTO and the Multilateral Trading System for Asian developing economies.				1.62				21/05/2001 - 01/06/2001
	Trade-Related Training Education				Regional training course: Fifth WTO/ESCAP Regional Training Course on WTO Agreements and the Doha Development Agenda.				3.50				18/02/2003 - 28/02/2003
Trade-Related Training Education				Regular Trade Policy Course: 25th WTO Trade Policy Course (English).								28/04/2003 - 18/07/2003
Trade-Related Training Education				Regional workshop: University Teaching Programme.								06/10/2003 - 10/10/2003
Trade-Related Training Education				18th Trade Policy Course: 18th Trade Policy Course on WTO Matters for English-Speaking Countries.								17/09/2001 - 30/11/2001
Trade-Related Training Education				21st Trade Policy Course: 21st Trade Policy Course on WTO Matters for English-Speaking Countries.								16/09/2002 - 06/12/2002
Trade-Related Training Education				Workshop: Training of Trainers: Launching Conference.				0.34				20/03/2003 - 20/03/2003

^* "PRSPs/dev. plans" refers to "poverty reduction strategy papers" and "development plans."

Source: Doha Development Agenda Trade-Related Technical Assistance and Capacity Building Database (TCBDB); available at http://tcbdb.wto.org/index.html. The above information is collected and compiled from member-country, country providers and agency providers as well as from the WTO's own sources.

(b)

United States

For at least a decade before China's accession to the WTO, the United States had an active program of technical assistance for China, where such assistance was sought, in various areas (such as the enforcement of intellectual property rights) and involving various US agencies. Before China's accession, the US provided technical assistance through educational programs sponsored by the commercial sections, economic sections, agricultural sections, and public affairs sections (PAS) of the US Embassy and Consulate. These programs included trips to China by WTO-related experts to review issues such as standards and certification, information technology, and IPR enforcement; visits to the United States by Chinese officials, journalists, and academics; grants for rule of law programs; and donations of legal texts.[27]

Following China's accession, the United States increased its focus on providing technical assistance to China in order to assist China in fulfilling its WTO commitments. In 2001, the US Government surveyed its programs and activities that promote trade-related capacity building in developing countries and transition economies around the world. The survey was sent to all major federal government departments and agencies and nearly 30 US departments and agencies reported that they provided trade capacity building assistance, including the following:

Ø U.S. Department of Agriculture

-- Agricultural Marketing Service

-- Agricultural Research Service

-- Animal and Plant Health Inspection Service

-- Cooperative Research, Education, and Extension Service

-- Economic Research Service

-- Food Safety and Inspection Service

-- Foreign Agriculture Service

-- Forestry Service

Ø U.S. Department of Commerce

-- Patent and Trademark Office

-- Commercial Law Development Program

-- National Institute of Standards and Technology

Ø U.S. Department of Energy

Ø U.S. Department of Justice

Ø U.S. Department of Labor

Ø U.S. Department of State

Ø U.S. Department of Transportation

Ø U.S. Department of Treasury

Ø U.S. Customs Service

Ø U.S. Agency for International Development (USAID)

-- Overseas Field Missions

-- Regional Bureaus and Central Program Offices

Ø U.S. Trade and Development Agency (USTDA)

Ø Environmental Protection Agency

Ø Export Import Bank

Ø Federal Trade Commission

Ø Office of the U.S. Trade Representative

Ø Overseas Private Investment Corporation

Ø Peace Corps

Ø Small Business Administration[28]

As a result of the government's initial survey in 2001 of trade capacity building activities and funding levels, with subsequent surveys in 2002 and 2003, a database was generated. This database is named the Trade Capacity Building (TCB) Database and is maintained by the U.S. Agency for International Development (USAID).[29]

The government survey showed that, over fiscal years 1999 through 2001, the United States expended about US$ 1.3 billion on trade capacity building activities.[30] Subsequent updated surveys through fiscal year 2003 show that the US Government spent US$ 752 million in 2003 and US$ 638 million in 2002. Thus, from 1999 to 2003, the US effectively doubled the amount it spent on trade-related technical assistance and capacity building, and the cumulative amount expended on trade capacity building from 1999 through 2003 totaled US$ 2.8 billion. The United States is now the largest single country donor of trade capacity building assistance.[31]

U.S. Trade Capacity Building Assistance

1999-2003 (in US $)

1999	2000	2001	2002	2003
369,139,107	504,459,705	598,749,112	637,835,149	751,710,945

Source: USAID & USTR, U.S. Contributions to Trade Capacity Building: Improving Lives Through Trade & Aid (September 2003) at 16 (Annex).

The types of activities that were the subject of the US Government's survey included assistance to countries "to become aware of, accede to, and participate in the World Trade Organization (WTO) and the global trading system." and assistance "to build the physical, human, and institutional capacity" that allow developing countries "to participate in and benefit more broadly from rules-based trade."[32] In particular, the following categories describe in detail the types of trade capacity building assistance provided by the US Government.

WTO Awareness and Accession – To provide a basic understanding of the WTO Agreements, helping accession candidates to identify changes to laws, regulations, policies, and procedures necessary to complete negotiations on the terms of WTO membership.

WTO Agreements – To support countries’ efforts towards compliance and implementation, including institution building so that developing and transition countries may reap the benefits of membership.

Trade Facilitation – To lower the costs of engaging in international trade, assistance to business support agencies and market development services, private business organizations, information services, and technology transfer.

Human Resources and Labor Standards – To help workers participate in the gains from trade and protect their rights in trade related sectors, support for workforce skills development, worker rights and labor standards, elimination of child labor exploitation and gender bias.

Financial Sector Development – To help make financial systems responsive to the needs of trade, reforms in banking and securities markets and implementation of laws and regulations that protect and promote trade-related investment.

Trade-Related Infrastructure Development – To build the physical capacity to conduct international commerce, support for trade-related telecommunications, marine ports, airports, and related facilities.

Environment – To assure that trade is environmentally neutral or positive, efforts to improve environmental regulations and standards, as well as to promote transfer of environmental technology for sustainable development.

Competition Policy – To assure that participation in international trade is conducted on an equal footing and benefits consumers, support for developing and promoting competition, including strengthening antitrust laws and eliminating local monopolies.

Agricultural Development – To extend the benefits of trade to rural sectors, support for trade-related htmects of agriculture technology development and agribusiness.

Services – To help developing and transition countries engage in international services trade, support for the services sectors in those countries.

Governance and Inter-Agency Coordination – To make government trade programs more accountable, trade policies and regulations more transparent, and to improve planning and communications among government agencies working in trade policy formulation and implementation.

With respect to technical and trade capacity building assistance provided to China in particular, the TCB database reports that the US Government expenditures increased from US$ 825 thousand in 1999 to US$ 1.7 million in 2003.

US Government Trade Capacity Building Assistance to China (P.R.C.)

(FY 1999 -- FY 2003) (US $)

TCB Categories	1999	2000	2001	2002	2003^*
WTO Accession	.	1,000	.	.	.
WTO Agreements (Sum of)	.	.	.	64,723	94,200
Agreement on SPS	.	.	.	2,000	9,200
Agreement on TBT	.	.	.	.	85,000
Agreement on TRIPs	.	.	.	62,723	.
Trade Facilitation	.	.	.	588,305	585,250
Customs Operation & Administration	.	.	.	.	585,250
E-Commerce & IT	.	.	.	585,605	.
Business Services & Training	.	.	.	2,700	.
Physical Infrastructure Development	.	.	711,000	1,597,414	272,660
Environmental Trade & Standards	100,000	.	170,000	150,300	156,000
Trade-Related Agriculture	725,000	.	725,000	550,000	90,240
Tourism Sector Development	.	.	.	.	156,000
Other Services Development	.	.	187,000	.	376,320
TOTAL	825,000	1,000	1,793,000	2,950,742	1,730,670

^* The data for 2003 includes data received up to July 31, 2003.

Source: USAID Trade Capacity Building Database; http://qesdb.cdie.org/tcb/index.htmll.

The USAID database also contains tables describing activities comprising US capacity building assistance to China in fiscal years 2002 and 2003. These descriptive tables are attached hereto as Appendix 11. They list the following capacity building activity titles, which shows the varied range of areas where assistance has been provided to China:

FY 2002: Inland Waterways; Sinopec E-Procurement System; CNS/ATM Master Plan; Agricultural Biotechnology Training Program; Aviation Safety Academy; E-Commerce Policy; Biotech Patenting Speech; CITIES Training; Enforcement provisions of TRIPS & Internet Piracy - video conferences with Chinese judges and the Shanghai Intellectual Property Bureau; Industrial Eco-efficiency; Seminars & Meetings on IPR; TA for International Food Safety; USTR Bilateral Meetings.[33]

FY 2003: Bioconversion/Composting; China Cochran Fellowships; China Fisheries & Seafood Expo; Customs Training Program; Seminar on Medical Device Post Market Surveillance and Auditing; Shanghai Power Reliability; Southwestern China Aviation Security; Standards in Trade Workshop; U.S.-China Biotechnology Cooperation.[34]

Moreover, as reviewed above, the WTO and OECD have developed the comprehensive Doha Development Agenda Trade Capacity Building Database to collect global information about trade-related technical and capacity building projects and activities provided by countries and multilateral organizations. The US Government submitted information to the WTO/OECD database. The following table identifies assistance provided to China by the United States as reported by the US to the WTO/OECD database.

UNITED STATES

Technical and Capacity Building Assistance Provided to China: 2001 -- Early 2003

Trade Policy and Regulations

	Trade Category			US Project / Activity		Amount ($ '000)		Start Date -End Date
		SPS and TBT		TA for International Food Safety: Sanitary & Phyto-Sanitary Measures - In March 2002, the U.S. Food & Drug Administration’s (FDA) Center for Food Safety and Applied Nutrition provided a one week training session at FDA on the US food regulatory system for a visiting WHO Fellow from the Ministry of Public Health in China. The program focused on the roles and responsibilities of U.S. food safety agencies, FDA's approaches for regulations of food additives, control of microbial pathogens, transparency, consumer education, etc., and how the US food safety system and programs are operated within the context of WTO SPS. FDA has a long history of working with foreign government organizations to strengthen the scientific, technical or regulatory expertise in other countries. These activities have usually been initiated by foreign governments, but they have also been initiated by FDA to respond to particular issues. FDA's intent in these activities has been to strengthen the overall regulatory and enforcement infrastructure in these countries in order to enhance public health worldwide and to help ensure the viability of the regulatory systems that govern and oversee FDA-regulated products produced in foreign countries and exported to the United States. The activities have the net effect of enhancing the developing countries' abilities to meet U.S. food safety standards, thereby improving market access opportunities in the United States for their food and agricultural products.		2.00		30/09/2002 -
Trade-Related Intellectual Property Rights			Biotech Patenting Speech: Agreement on TRIPS - Biotech patenting speech. . (June, 2002)		6.00		30/09/2002 -
Trade-Related Intellectual Property Rights			Video conferences w/ Chinese judges & Shanghai Intellectual Property Bureau: Agreement on TRIPS - Enforcement provisions of TRIPS & Internet Piracy - video conferences with Chinese judges and the Shanghai Intellectual Property Bureau. . (May, 2002)		7.00		30/09/2002 -
Trade-Related Intellectual Property Rights			Seminars & Meetings on IPR: Agreement on TRIPS - IP enforcement seminars with Sichuang Province Academy of Social Sciences (researchers, judges, government officials); a TRIPs compliance lecture and Chinese IP statutory initiatives with Chonqing IP officials, Chongqing Academy of Social Sciences, and the Southwestern Univ of Policies and Law in Chongqing City; the USPTO enforcement program seminar with the Shanghai WTOO Enforcement Center; a meeting with the Mayor of Dalian; a meeting with judges; a meeting at the Academy of Sciences; and a meeting with SIPO. (April, 2002)		39.00		30/09/2002 -
Trade-Related Intellectual Property Rights			USTR Bilateral Meetings: Agreement on TRIPS - USTR bilateral meetings. (January, 2002)		10.00		30/09/2002 -
Trade-Related Intellectual Property Rights			Geographic Indications Videoconference: Agreement on TRIPS - Geographic Indications videoconference. Participating countries were: Chile, China, Colombia, Costa Rica, El Salvador, Haiti, Jordan, Mexico, Namibia, Paraguay, Peru, Philippines, Singapore, and Uruguay. (March, 2002)		0.23		30/09/2002 -
Trade-Related Intellectual Property Rights			IP Enforcement program with WIPO: Agreement on TRIPS - IP Enforcement program with WIPO. Participating countries were: Albania, Bangladesh, Botswana, Bulgaria, Chile, China, Croatia, Cyprus, Egypt, Kuwait, Malawi, Malaysia, Macedonia, Mexico, Romania, Russia, Saint Lucia, Serbia, Slovakia, Thailand, and Tanzania. (May, 2002)		0.59		30/09/2002 -
Trade-Related Intellectual Property Rights			USPTO/USTR training videoconference: Agreement on TRIPS - USPTO/USTR training (Geneva), television broadcast (videoconference). Participating countries were: Algeria, Barbados, China, Ecuador, Guatemala, Indonesia, Korea, Malaysia, Mexico, Morocco, Panama, Singapore, South Africa, and Tunisia. (February, 2002)		0.08		30/09/2002 -
Trade and Environment			Typical activities included in this category have the objectives of assuring that trade is environmentally neutral or positive; support for efforts to improve environmental regulations and standards; and promoting the transfer of environmental technology for sustainable development.		170.00		30/09/2001 -
Trade and Environment			CITIES Training: Environment Sector Trade & Standards - China, as a major consumer of wildlife products and as home to significant endangered wildlife species, is one of the most significant countries in the world in terms of wildlife trade. The U.S. has a longstanding cooperative relationship with China which includes exchanges of experts and government officials responsible for implementation of the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES). In June 2002 FWS officials provided CITES training to Chinese officials in China, met with Chinese wildlife officials and toured major wildlife markets in SE China.				30/09/2002 -
Trade and Environment			Industrial Eco-efficiency: Environment Sector Trade & Standards - In China-US Cooperation in Pollution Prevention and Energy Efficiency EPA cooperates with China State Environmental Protection Administration (SEPA) to establish and implement a more economically efficient environmental management policy for China’s industrial sector, focusing on preventing pollution (source reduction) as a preferred approach to environmental management. EPA cooperates with SEPA to establish comprehensive partnership programs to prevent pollution and conserve energy, including partnerships among relevant parts of the Central Government, partnerships among provincial and local governments and partnerships between government and industry. EPA also cooperates with SEPA to enhance China’s capacity in pollution prevention and energy efficiency and to obtain information about US pollution prevention technologies and policies. To date, 63 facilities in 4 provinces have enrolled in the pilot partnering programs. Implemented by: EPA.		150.00		30/09/2002 -

Trade Development

	Trade Category		US Project / Activity		Amount ($ '000)		Start Date -End Date
Business Support Services and Institutions		Typical activities included in this category have the objectives of helping developing and transition countries engage in international services trade, and of supporting the service sectors in those countries.		187.00		30/09/2001 -
Business Support Services and Institutions		CITIES Training: Business Services & Training - China, as a major consumer of wildlife products and as home to significant endangered wildlife species, is one of the most significant countries in the world in terms of wildlife trade. The U.S. has a longstanding cooperative relationship with China which includes exchanges of experts and government officials responsible for implementation of the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES). In June 2002 FWS officials provided CITES training to Chinese officials in China, met with Chinese wildlife officials and toured major wildlife markets in SE China.		3.00		30/09/2002 -
E-commerce		200230009B - Sinopec E-Procurement System: E-Commerce Development & Information Technology - TDA approved a grant of $429,000 for a feasibility study (FS) to define the technical and financial requirements of an e-procurement system for Sinopec International (Sinopec) of Beijing, China. The FS will determine (a) how Sinopec should invest, organize its business, and train its staff to implement the system and (b) what type of system is needed and how best to implement said system. The study is expected to formulate a Strategic Investment and Management Plan, outline a technical implementation plan, write a strategic investment plan for the e-procurement system, write technical specifications for the system, assess staff development and training needs, analyze legal concerns, evaluate cultural concerns, and devise a comprehensive financial plan.		429.00		30/09/2002 -
E-commerce		200230045A - E-Commerce Policy: E-Commerce Development & Information Technology - TDA approved funding of $156,605.35 for an Orientation Visit (OV) of Chinese officials involved with shaping China's e-commerce policy. The twenty-member delegation will be comprised of public and private sector officials who will travel to Boston, New York, Washington, D.C., and San Francisco over the course of eight days. Site visits will focus on educating the Chinese as to established U.S. practices in the e-commerce sector, especially in terms of technology-neutrality, private-sector leadership, and limited government intervention. The U.S. IT sector's export activities to China will be enhanced should practices similar to US standards be implemented. Computer Frontiers was selected as the IQC contractor.		157.00		30/09/2002 -
Trade Promotion Strategy Design and Implementation		200230021A - Agricultural Biotechnology Training Program: Trade-Related Agriculture Development - TDA approved a US$550,000.00 grant for a technical assistant to the Council for Agricultural Science and Technology (CAST) for the organization and implementation a technical assistance and training program with the Chinese Ministry of Agriculture, its Chinese Academy of Agricultural Science, and other appropriate members of the Chinese State Council's Agricultural GMO Joint-Ministry Conference System. Because of China's uncertainty about the implementation of new Ag-Biotech rules, it has caused new orders for U.S. soybean exports (US$1 billion) to be halted. The focus of the TA and training program would be to help influence implementation procedures to minimize any negative impact on U.S. exports. Also, TDA's focus is, on keeping the Chinese market open to U.S. soybean and corn products and to promote the U.S. lab equipment for food safety testing purposes.		550.00		30/09/2002 -
Market Analysis and Development		Typical activities included in this category have the objectives of extending the benefits of trade to rural sectors; and supporting trade-related htmects of agriculture technology development and agribusiness.		725.00		30/09/2001 -

Source: Doha Development Agenda Trade-Related Technical Assistance and Capacity Building Database (TCBDB); available at http://tcbdb.wto.org/index.html.

In addition to the comprehensive information collected by the USAID database, particular US agencies have provided information about the scope of their technical and trade capacity building assistance to China.

For example, the US Department of Commerce has noted that the goal of its WTO-related training efforts is "to provide Chinese officials with the information they need in order to fully implement their WTO commitments in their relevant sectors."[35] In its publication Export America, Commerce described three examples of its technical assistance programs for China -- Intellectual Property Rights, Information Technology, and Medical Device Standards.

Intellectual Property Rights

In June of 2001, the U.S. Department of Commerce, in coordination with the U.S. Department of Justice (DOJ) and China's Ministry of Foreign Trade and Economic Cooperation (MOFTEC), conducted one and a half day sessions on Intellectual Property Rights (IPR) in Shenyang, Hangzhou, and Xiamen, China. The program presented issues and options to Chinese officials and entrepreneurs on IPR enforcement, including Trade Related htmects of Intellectual Property (TRIPS) and comparative criminal practice and procedure. There was also a case study on Intellectual Property, which was originally developed by Commerce’s Patent and Trademark Office to train U.S. law enforcement officers, prosecutors, and courts. In addition, two presenters met with judges from Shanghai and Zhejiang Province to better understand China’s structure for IPR enforcement.

Information Technology Training

In August 2001, the U.S. Department of Commerce held a WTO Training Program on IT/Telecom Equipment Standards, Testing, and Certification in Beijing, China. The program was hosted in coordination with China’s Ministry of Information Industry (MII). With over 70 Chinese and US attendees, the program consisted of presentations from both Chinese and U.S. presenters with discussion periods. The aim of the program was to raise awareness among Chinese IT/Telecom officials and U.S. business leaders of China’s WTO obligations, especially those relating to the Information Technology Agreement. Chinese presenters explained current practices and procedures used in testing labs, and opportunities for foreign technical assistance in standards conformity and compliance to international standards. The program was carried out with high-level support from the Chinese government and industry representatives as well as the assistance and support from both the American Embassy and U.S. Foreign and Commercial Service staff. After the program, participants suggested that additional WTO-related training programs be expanded to other cities in China. Participants also noted the need for additional programs dealing with the issue of intellectual property specifically for IT companies.

Medical Device Standards

In September 2001 the U.S. Department of Commerce, in conjunction with the State Drug Administration (SDA) of China, held a 3-day seminar on medical device standards. This seminar included participants from the U.S. and EU private sectors, TD/Medical Device staff and Food and Drug Administration (FDA) regulators. The focus of this event was on the role of standards under a Quality System-based regulatory approach. Although medical device safety requirements in the U.S. and EU differ in some technical respects, they both utilize the Quality Systems approach to regulation (essentially, auditing factories that make medical devices to ensure that they make quality products). This is in contrast to the Chinese system of postproduction testing.[36]

The US Department of Agriculture has organized and provided training programs for China relating to agricultural issues, as described below:

The Department of Agriculture, through its Foreign Agriculture Service (FAS), is coordinating all WTO issues as they relate to agricultural affairs. In April 2001, FAS conducted a WTO-related training program in conjunction with the Cochran Fellowship Program. The program covered such topics as FAS role in trade policy, WTO agreements on agriculture, sanitary and phytosanitary measures and WTO agricultural negotiations. FAS is planning on continuing similar training seminars in China for the future.[37]

Also, in recent years, the US Trade and Development Agency (USTDA) has funded various technical assistance projects in China. The USTDA is an independent commercially-oriented foreign assistance agency of the US Government which "promotes economic development and trade in developing and middle-income countries by funding feasibility studies, consultancies, training programs and other project planning services."[38] USTDA activities cover a wide range of sectors including Energy (Power, Oil and Gas), Telecommunications, Transportation (Aviation, Urban Transit, Rail) and Environment (Hazardous and Solid Waste, Industrial Remediation).

USTDA's activities in China were reactivated in 2001, and, as reported by the agency:

grew rapidly during FY 2002, in part due to the Administration's support for China's entry into the World Trade Organization (WTO). The strong demand for USTDA activity in China reflects significant development and trade-capacity needs, arising partly from China's WTO membership and related commitments.[39]

According to USTDA, trade capacity building is an important part of its portfolio.

During FY 2003, USTDA provided over $20 million in trade capacity-building assistance worldwide. USTDA works closely with the Office of the U.S. Trade Representative (USTR) to focus the agency’s trade capacity-building efforts in areas that are most useful and effective. USTDA supports many important activities involving World Trade Organization (WTO) commitments, the negotiation of free trade agreements, customs reform and modernization, the development of industry standards and regulations, intellectual property rights (IPR) enforcement, and infrastructure modernization to facilitate trade.[40]

As reported in the USTDA's 2002 and 2003 annual reports, the following tables list the title and activity of the USTDA projects involving China, the contractor of the project, and the amount funded for the project.

USTDA Activities in China -- 2002

	Title		Activity		US Firm			City & State	Funds Obligated
Inland Waterways		Orientation Visit		Koeppen, Elliott & Associates, Ltd.		Washington DC	137,618
Shanghai Deep-Sea Port at Yangshan		Feasibility Study		Selection in progress			500,000
Shenhua Direct Coal Liquefaction		Feasibility Study		Hydrocarbon Technologies, Inc.		Lawrenceville NJ	150,000
Chongqing Water and Wastewater Treatment		Feasibility Study		Liberty Pacific Direct Investments Limited		Boston MA	450,000
Shanghai Municipal Electric Power Bureau		Orientation Visit		Princeton Energy Resources International, LLC		Rockville MD	133,243
PetroChina Enhanced Oil Recovery		Feasibility Study		Tradewinds Oil and Gas International, Ltd.		Houston TX	270,000
Rescue and Salvage		Orientation Visit		Mendez England & Associates		Chevy Chase MD	121,019
Sinopec E-Trade System		Definitional Mission		Global Resources		Irvine CA	34,721
Sinopec E-Procurement System		Feasibility Study		Selection in progress			429,000
CNS/ATM Master Plan		Desk Study		CORE International		Washington DC	2,500
CNS/ATM Master Plan		Feasibility Study		The Mitre Corporation		McLean VA	859,796
Agricultural Biotechnology Training Program		Technical Assistance		Council for Agricultural Science and Technology		Washington DC	550,000
Aviation Safety Academy		Training		Interflight Services, Inc.		Bellevue WA	600,000
Geothermal Heat Pump		Desk Study		Geothermal Management Company, Inc.		Frisco CO	2,500
Geothermal Heat Pump		Feasibility Study		Jacwill Services, Inc.		St. Petersburg FL	315,300
Foreign Commercial Service Staff Support		Technical Assistance		US and Foreign Commercial Service		Washington DC	20,000
China Environmental Sector		Definitional Mission		BRISEA International Development, Inc.		Whippany NJ	25,000
China Environmental Sector – Shanghai Municipal Solid Waste		Technical Assistance		Selection in progress			858,000
China Electrical Power Projects		Definitional Mission		Commonwealth Power Corporation		Virginia Beach VA	24,961
China Beijing Water Reuse Conference		Technical Assistance		Richard Mills		Sacramento CA	10,000
China Guangzhou Metro Line 3		Feasibility Study		Selection in progress			523,270
China Shenzen Metro Phase 2		Feasibility Study		Selection in progress			743,810
China Oil and Gas Sector		Definitional Mission		S.H. Lucas & Associates		Pasadena CA	25,000
China E-Commerce/Telecommunications Projects		Definitional Mission		Global Resources		Irvine CA	34,976
China Aviation and Air Traffic Control Opportunities		Definitional Mission		Transportation & Economic Research Associates, Inc. (TERA)		Sterling VA	24,967
China Beijing Olympics Infrastructure		Definitional Mission		Transportation & Economic Research Associates, Inc. (TERA)		Sterling VA	24,967
China Beijing Olympics Infrastructure – Advanced Traffic Management System		Feasibility Study		Selection in progress			286,890
China E-Commerce Policy		Orientation Visit		Computer Frontiers, Inc.		Germantown MD	156,605
China Sichuan Basin Natural Gas Market and Pricing Study		Desk Study		S.H. Lucas & Associates		Pasadena CA	2,500
China Sichuan Basin Natural Gas Market and Pricing Study		Technical Assistance		USDOE		Washington DC	180,658
China Establishment of US-China Natural Gas Institute		Technical Assistance		Gas Technology Institute (GTI)		Des Plaines IL	500,000
China World Bank Shanghai Urban Environment Project – TOR Review		Desk Study		Jennifer Windus		Great Falls VA	2,500
China World Bank Shanghai Urban Environment Project		Technical Assistance				Selection in progress	498,500
China Lanzhou Ethylene Plant		Desk Study		Gustavson Associates, Inc.		Boulder CO	2,500
China Panel Manufacturing		Desk Study		McKittrick & Associates, Inc.		Oakton VA	2,500
China Tianjin Waste Disposal Facility		Feasibility Study		Selection in progress			223,000
China AirVenture		Orientation Visit		Decision/Analysis Partners		Vienna VA	70,000
China Foot and Mouth Disease		Desk Study		The Peoples Group		Arlington VA	2,500
China WTO-E Learning		Desk Study		MEGA-TECH, Inc.		Falls Church VA	2,500
China WTO-E Learning		Feasibility Study		Alamo Learning Systems		San Ramon CA	417,000
China Desertification Prevention		Desk Study		AJGB Environmental Engineering Specialists		Bellevue WA	2,500
China Desertification Prevention		Feasibility Study		Valmont Industries		Omaha NE	244,200
China Chromium Encapsulation		Desk Study		Environmental Compliance, Inc.		Elma NY	3,895
China Construction Equipment for North-South Water Diversion		Orientation Visit		Mendez England & Associates		Chevy Chase MD	149,171
China Shanghai Power Reliability		Desk Study		J.W. Price & Associates		Tucker GA	2,500
China CNG Bus and Equipment		Orientation Visit		Technical Resources International, Inc. (TRI)		Bethesda MD	169,962
China Airport Emergency / Firefighting		Orientation Visit		MFM Group, Inc.		Miami FL	104,416
China Jiangsu Environmental Monitoring Project		Technical Assistance		Selection in progress			207,000

Source: US Trade and Development Agency, Annual Report 2002, at 35.

USTDA Activities in China -- 2003

Title	Activity	US Firm	City & State	Funds Obligated
Inland Waterways	Orientation Visit	Koeppen, Elliott & Associates, Ltd. (KEA)	Washington DC	2,000
USFCS Officer Wan Xiaolei	Technical Assistance	US and Foreign Commercial Service	Washington DC	16,028
Oil and Gas Sector — Underground Gas Storage	Feasibility Study	Parsons Brinckerhoff Energy Storage Services, Inc. (PB-ESS)	Houston TX	460,000
E-Commerce/Telecommunications Projects -- Emergency 911	Orientation Visit	The Louis Berger Group, Inc.	Washington DC	136,210
Beijing Olympics Infrastructure -- Advanced Traffic Management System	Desk Study	Transportation & Economic Research Associates, Inc. (TERA)	Sterling VA	5,000
Tianjin Hazardous Waste Procurement Audit	Desk Study	Dayton J. Carpenter	Syracuse NY	5,350
Shanghai Power Reliability	Feasibility Study	EPRI PEAC Corporation	Knoxville TN	376,320
Trade Capacity Building Training Program	Desk Study	Global Technology Management, Inc.	Fairfax VA	2,500
Trade Capacity Building Training Program	Feasibility Study	Global Alliance for Trade Efficiency	Washington DC	585,250
SW China Aviation Security	Feasibility Study	Selection in progress		272,660
Di-Methyl Ether Plant	Desk Study	S.H. Lucas & Associates, Inc.	Pasadena CA	2,500
Di-Methyl Ether Plant	Feasibility Study	Fluor Daniel China Services, Inc.	Aliso Viejo CA	675,000
Environmental Sector	Definitional Mission	ECODIT, Inc.	Arlington VA	24,996
Environmental Sector - Bioconversion/Composting for BMAC	Feasibility Study	Eric’sons, The Naturnomics Company	Dallas GA	312,000
Shanghai Emergency Response	Orientation Visit	Koeppen, Elliott & Associates, Ltd. (KEA)	Washington DC	122,963
Cable Television Industry	Orientation Visit	Decision/Analysis Partners	Vienna VA	121,120
Shanghai Centralized Medical Waste Treatment Facility	Feasibility Study	Tetra Tech, Inc.	Pasadena CA	204,900
Hazardous Waste Treatment and Disposal	Definitional Mission	Eurasia Environmental Associates, LLC	Reston VA	23,940
Low-Emission Diesel Fuel	Desk Study	S.H. Lucas & Associates, Inc.	Pasadena CA	4,000
Railway Intermodal Container Transport	Desk Study	William F. Hennessey	Lenoir City TN	2,500
Sludge Management / Beijing Drainage	Feasibility Study	Selection in progress		350,000
Coal Bed Methane	Orientation Visit	Labat-Anderson, Incorporated	McLean VA	86,076
Urban Water	Technical Assistance	Selection in progress		397,000
Water and Wastewater Treatment/Beijing	Feasibility Study	Selection in progress		250,000

Source: US Trade and Development Agency, Annual Report 2003, at 32.

A description of USTDA's projects in China during 2001, 2002, and 2003 (through September) is provided in Appendix 12.[41]

A number of US agencies conduct and promote "rule of law" programs in China. For example, in August 2002, the Department of Labor announced that it would award up to US$ 4.5 million to organizations that develop and implement programs focusing on the promotion of labor rule of law in China through collaboration with central and local government agencies, academic institutions and NGOs.[42]

USAID also maintains a China Rule of Law program.[43]

USAID’s rule of law program in China strengthens the legal infrastructure for an emerging market economy through: education in international and American legal principles and processes, including transparency, due process, and attorney-client obligations. Specific activities under the program include training to improve Internet and e-commerce regulation, thus promoting both business opportunities and human rights through access to information, as well as training in WTO compliance measures and in promoting health care regulations to address HIV/AIDS issues.[44]

USAID states that the rule of law program will "train Chinese judges, law professors, private sector lawyers and other legal professionals in the content and principles of international and American law with an emphasis on treaty obligations, especially WTO compliance; individual rights and legal ethics."[45] USAID expects that, by the end of the program, the Chinese "will have a better understanding of the issues inherent in running an effective legal system that takes individual rights into consideration," have the "basis for developing effective regulations for the Internet and the health care industry," and "will understand better their treaty obligations under the WTO."[46]

In addition, Congress has, in recent fiscal year appropriations, provided funds to promote rule of law programs in China. For example, in the Consolidated Appropriations Act, 2004, Congress provided that "not less than $13,500,000 shall be made available for assistance for activities to support democracy, human rights, and the rule of law in the People’s Republic of China and Hong Kong."[47] Similarly, the Consolidated Appropriations Resolution, 2003, provided that "not less than $15,000,000 shall be made available for assistance for activities to support democracy, human rights, and the rule of law in the People’s Republic of China, Hong Kong and Tibet."[48] The Foreign Operations, Export Financing, And Related Programs Appropriations Act, 2002, made a similar appropriation: "not less than $10,000,000 shall be made available for assistance for activities to support democracy, human rights, and the rule of law in the People’s Republic of China."[49]

(c)

EU and other countries

In addition to the United States, other countries provide technical and capacity building assistance to China. As China entered the WTO, the EU noted that it was essential that China implement its commitments promptly and accurately. To achieve this goal, the EU committed to working with China and noted that technical assistance would play an important role. Consequently, the EU established cooperation projects designed to help build China's capacity to implement its WTO commitments. Initially, the EU noted that it had established five projects budgeted at about EUR 22 million, including "a framework programme in support of WTO accession," a "broad-based initiative to assist in the reform and restructuring of the financial services sector," the "collection and provision of statistics," the "development of a framework for transparent and non-discriminatory public procurement," and a "series of projects supporting the development of a modern and effective system for the protection of intellectual property rights."[50] The EU currently summarizes its technical assistance to China as follows:

Since the mid nineties the EU Technical Assistance to China has supported the economic reforms with a particular focus on training and institutional capacity-building. After China's accession to the WTO, it has become of utmost importance that the necessary changes to the trade regime are implemented smoothly, timely and accurately. To this end, the EU is committed to working in partnership with China and determined to share its experience in the WTO. Both regulatory and technical assistance will be key elements to help China meet its WTO obligations and support the changes to be introduced. With a budget totalling € 37 Millions for projects focusing on capacity-building in China's government and administration, and on implementation of its WTO commitments, the EU ranks at the very first place among the donors: in particular a € 15 Millions project adopted by the Commission at the end of 2002 is so far the largest technical assistance programme supporting China's integration into the international trading system; this programme will be launched at the end of 2003.[51]

The EU website provides information about specific technical assistance projects for China, referred to as "EU-China Co-Operation Projects."[52] The EU's assistance program is extensive, as demonstrated by the following index[53] to the EU-China Co-Operation Projects webpage:

ØGeneral

EU-China Small Project Facility

ØRule of Law and Good Governance

EU-China Legal & Judicial Co-operation Programme

EU-China Training Programme on Village Governance

EU-China Intellectual Property Rights Co-operation Programme

Human Rights Small Project Facility

China-Europe Public Administration Programme

ØEconomic & Social Reform

Framework Programme for EU Support to China’s Accession to the WTO

Support to China’s Integration into the World Trading System

EU-China Financial Services Co-operation Project

EU-China Enterprise Reform Project

EU-China Civil Aviation Co-operation Project

China-Europe International Business School (CEIBS) Phase II

EU-China Junior Managers Programme

EU-China Programme for the Development of Vocational Training for Industry

EU-China Basic Education Co-operation Programme

EU-China European Studies Centres Programme (ESCP)

Interpreter Training Programmes

Environment and Sustainable Development

EU-China Liaoning Integrated Environmental Programme

EC-China Environmental Management Co-operation Programme (EMCP)

Vehicle Emission Control Co-operation Project

Capacity Building for Municipal Solid Waste Management Reform in China

Panam Integrated Rural Development Project

Natural Forest Management Project

Energy/Environment Programme

ØRegional Programmes

Asia-Invest

Asia Information Technology and Communication Programme (Asia IT&C)

Asia-Link

Asia Urbs

Asia Pro Eco

Integrated Pest Management for Cotton in Asia

ØRecently Completed Projects

EU-China Higher Education Programme

EU-China Co-operation in the Field of Public Procurement – Pilot Project

Qinghai Livestock Development

EU-China Qinghai Potato Development Project

EU-China Technical & Commercial Co-operation within the Dairy & Food Processing Sector

EU-China Co-operation Programme in Statistics

Water Buffalo Development Project

Vocational Training Project for the Disabled

The EU states that the EU-China co-operation program is "now going beyond traditional development aid into areas such as legal and judicial assistance, social reform, education, the environment," that the "present co-operation portfolio includes some 40 projects with an overall budget of around €270 million," and that the EU's "commitment to co-operation projects is estimated to amount to around €250 million during the period 2002-2006."[54] [55]

Other countries, such as Japan and Switzerland, also provide technical and capacity building assistance to China. The WTO/OECD trade capacity building database lists numerous projects provided by Japan during 2001 - 2003.

JAPAN

Technical and Capacity Building Assistance Provided to China: 2001 -- Early 2003

Trade Policy and Regulations

					Trade Category						Japan Project / Activity										Amount ($ '000)		Start Date -End Date
				Trade Facilitation						CUSTOMS TECHNICAL COOPERATION: To give participants an opportunity to deepen their knowledge and skills of Customs administration.								32.92				01/01/2001 -
				Trade Facilitation						Customs Technical Cooperation: To dispatch experts as lecturers.								3.20				01/04/2002 -
				Customs Valuation						CUSTOMS TECHNICAL COOPERATION: To give participants an opportunity to deepen their knowledge and skills of Customs Valuation.								6.09				01/01/2001 -
				Customs Valuation						Customs Technical Cooperation: To give participants an opportunity to deepen their knowledge and skills on Customs Valuation.								22.36				01/04/2002 -
		Trade-Related Intellectual Property Rights						Customs Technical Cooperation: To dispatch an expert as a lecturer.						16.46					01/04/2001 -
		Trade-Related Intellectual Property Rights						Customs Technical Cooperation: To give participants an opportunity to deepen their knowledge and skills on Intellectual property rights.						7.27					01/04/2002 -
Trade-Related Training Education						The Administration on the implementation of the WTO Agreements: Training in Japan in Administration/ General.						10.46				30/06/2002 -
Trade-Related Training Education						MANAGEMENT SKILL OF HUMAN RESOURCES DEVELOPMENT: Training in Japan in Trade.						50.36				30/06/2001 -
Trade-Related Training Education						Risk Management of Housing Financial Institution: Training in Japan in Architecture/Housing.						6.95				30/06/2002 -
Trade-Related Training Education						Support for WTO Accession: Training in Japan in Trade.						13.18				30/06/2002 -
Trade-Related Training Education						INTELLECTUAL PROPERTY RIGHTS: Training in Japan in Trade.						31.23				30/06/2002 -
Trade-Related Training Education						Training in Japan in Health/Medicalcare: Training in Japan in Trade.						4.63				30/06/2002 -
	Trade-Related Training Education						FOOD MICROBIAL CONTROL: Training in Japan in Health/Medicalcare.						5.43				30/06/2002 -
	Trade-Related Training Education						DISTRIBUTION SYSTEM IN THE JAPANESE MARKET: Training in Japan in Trade.						13.34				30/06/2001 -
	Trade-Related Training Education						TRADE AND INVESTMENT INSURANCE: Training in Japan in Trade.						2.80				30/06/2002 -
	Trade-Related Training Education						INTELLECTUAL PROPERTY RIGHTS IN TECHNOLOGY TRANSFERS: Training in Japan in Trade.						8.76				30/06/2001 -
	Trade-Related Training Education						COPYRIGHT SYSTEMS DEVELOPMENT: Training in Japan in Administration/General.						2.64				30/06/2002 -
	Trade-Related Training Education						Operation of Understanding on Rules and Procedures Governing the DSU, WTO Agreement: Training in Japan in Trade.						2.16				30/06/2002 -
			Trade-Related Training Education						Training in Japan in Trade						112.51					30/06/2001 -
			Trade-Related Training Education						Training in Japan in Trade						174.44					30/06/2002 -
			Trade-Related Training Education						Technical Cooperation in Trade						0.91					30/06/2001 -
			Trade-Related Training Education						Technical Cooperation in Trade						2.72					30/06/2002 -
			Trade-Related Training Education						Promoting of Participation of Japanese Citizen in Trade						15.97					30/06/2002 -

Trade Development

				Trade Category					Japan Project / Activity								Amount ($ '000)		Start Date -End Date
Business Support Services and Institutions					Digital ATC: Technical Cooperation in Business Management.					20.85			30/06/2002 -
Business Support Services and Institutions					Technical Cooperation in Business Management					18.11			30/06/2001 -
Business Support Services and Institutions					Administration for Industry and Commerce in China: Training in Japan in Business Management.					55.23			30/06/2001 -
Business Support Services and Institutions					Adjustment of Farm and Cooperative Business to Market Economy for China: Training in Japan in Business Management.					83.61			30/06/2001 -
Business Support Services and Institutions					CONSULTANCY SERVICE FOR SMALL INDUSTRIES: Training in Japan in Business Management.					4.69			30/06/2001 -
	Business Support Services and Institutions					SEM. ON IMPROVEMENT OF THE STATUS OF WOMEN FOR GOV'T OFFICERS: Training in Japan in Business Management.					2.39			30/06/2001 -
	Business Support Services and Institutions					PRODUCTION MANAGEMENT(THEORY & PRACTICE ON WORK IMPROVEMENT): Training in Japan in Business Management.					1.48			30/06/2001 -
	Business Support Services and Institutions					INVESTMENT PROMOTION SEM.(1) (ASIAN COUNTRIES): Training in Japan in Business Management.					6.26			30/06/2001 -
	Business Support Services and Institutions					SEMINAR ON LEGAL SYSTEM RELATED TO DIRECT INVESTMENT: Training in Japan in Business Management.					6.09			30/06/2001 -
	Business Support Services and Institutions					PRIV. SECTOR MIDDLE MANAGEMENT FOR THE PACIFIC COOPERATION: Training in Japan in Business Management.					9.37			30/06/2001 -
		Business Support Services and Institutions					MANAGEMENT OF CHAMBERS OF COMMERCE AND INDUSTRY: Training in Japan in Business Management.					2.88			30/06/2002 -
		Business Support Services and Institutions					Training in Japan in Business Management					301.65			30/06/2001 -
		Business Support Services and Institutions					Training in Japan in Business Management					273.64			30/06/2002 -
		Business Support Services and Institutions					Technical Cooperation in Business Management					64.28			30/06/2001 -
		Business Support Services and Institutions					Technical Cooperation in Business Management					44.73			30/06/2002 -
		Business Support Services and Institutions					Technical Cooperation in Business Management					0.08			30/06/2002 -
			Business Support Services and Institutions					Technical Cooperation in Business Management								0.16		30/06/2001 -
			Business Support Services and Institutions					Technical Cooperation in Business Management: Promoting of Participation of Japanese Citizen in Business Management.								12.94		30/06/2002 -
			Trade Promotion Strategy Design and Implementation					Dispatching Technical Experts & Speaker Program: To support reformation of economic structure, in the area of small & medium industry, intellectual property rights, corporate management and economic legal.								830.67		31/12/2002 -
			Market Analysis and Development					Small and Medium Scale Enterprises Development: Training in Japan in Industry/General.								0.08		30/06/2001 -
			Market Analysis and Development					Study on Small and Medium Enterprise Development in Shenyang and Hanzho: Development Study in Industry/General.								2,516.54		30/06/2001 -
			Market Analysis and Development					Study on Small and Medium Scale Enterprises Development Plan in China: Development Study in Industry/General.								1,324.36		30/06/2002 -
		Market Analysis and Development					Conformity Assessment Systems For Industry: Training in Japan in Industry/General.					3.27			30/06/2002 -
		Market Analysis and Development					Intellectual Property For Apec Economies: Training in Japan in Industry/General.					19.89			30/06/2001 -
		Market Analysis and Development					Seminar On Evaluation Of National R&D Projects: Training in Japan in Other Industries.					5.84			30/06/2001 -
		Trade Finance					Risk Management of Housing Financial Institution: Development Study in Budget/Finance.					807.11			30/06/2002 -
		Trade Finance					Risk Management of Housing Financial Institution: Technical Cooperation in Budget/Finance.					0.08			30/06/2002 -
		Trade Finance					The Study for Improving the Housing Finance Reform in PRC: Development Study in Budget/Finance.					2,168.15			30/06/2001 -
		Trade Finance					Promotion Of Small And Medium Sized Industrial Enterprises: Training in Japan in Budget/Finance.					27.82			30/06/2001 -
		Trade Finance					Tokyo Executive Seminar on Insurance Regulation and Supervision / The FSA Seminar: Seminars on international issues in insurance supervision, and Japanese supervisory system and experiences.					9.82			10/01/2002 -
		Trade Finance					Tokyo Enforcement Seminar on Securities Market Enforcement: International seminar for securities law enforcement practitioners of emerging markets.					9.51			25/02/2002 -
		Trade Finance					Tokyo Seminar on Securities Market Regulation 2002: International seminar for practitioners of securities regulatory authorities.					20.05			01/04/2002 -
		Trade Finance					Tokyo Seminar on Securities Market Regulation 2001: International seminar for practitioners of securities regulatory authorities.					21.40			02/04/2001 -
		Trade Finance					Seminar On Small & Medium Enterprises Development Policies: Training in Japan in Budget/Finance.					3.05			30/06/2001 -
		Trade Finance					Seminar On Taxation (General Tax Course): Training in Japan in Budget/Finance.					9.41			30/06/2001 -
		Trade Finance					Seminar On Taxation (Senior Tax Course) II: Training in Japan in Budget/Finance.					9.16			30/06/2001 -
		Trade Finance					Financial Industry Information Systems: Training in Japan in Budget/Finance.					2.56			30/06/2002 -

Source: Doha Development Agenda Trade-Related Technical Assistance and Capacity Building Database (TCBDB); available at http://tcbdb.wto.org/index.html.

Switzerland's technical assistance to China has focused on environmental projects, among other areas. The WTO/OECD database list the following projects provided to China by Switzerland.

SWITZERLAND

Technical and Capacity Building Assistance Provided to China: 2001 -- Early 2003

Trade Policy and Regulations

	Trade Category				Switzerland Project / Activity				Amount ($ '000)			Start Date -End Date
			SPS and TBT				China Quality Production of Poultry: The project aims at improving the quality of poultry production in China by supporting the introduction of a quality control system based on the EUREP-Gap (European) requirements and including environmental and social standards.			1,098.26				01/09/2003 - 31/12/2005
		Trade and Environment				China Council for International Cooperation on Environment and Development: support of the Task Force "WTO and Environment": The Task Force plans to undertake two major tasks: 1) to conduct an integrated environmental impacts assessment of China's WTO accession in some selected sectors that are of importance to the environment and sustainable development; 2) enhancing the capability to participate in the WTO negotiations on trade and the environment.							31/12/2002 -
Trade and Environment				Task Force "WTO and Environment" of the China Council for International Cooperation on Environment and Development": This projects aims at supporting an high-level advisory body to the Chinese Government in questions relating to environment and development. It will assess the environmental consequences of China’s WTO accession, develop appropriate policy measures to support sustainable trade and help China’s negotiators to address the environmental issues in the new Round of WTO negotiations. All activities will be supported by the international review-team formed by the members of the task force WTO and Environment.				1,098.26			01/09/2003 - 31/12/2005

Trade Development

	Trade Category		Switzerland Project / Activity			Amount ($ '000)	Start Date -End Date
Market Analysis and Development		Increasing market access for sustainable development: capacity building on norms standards labels and certification		144.53	31/12/2002 -
Market Analysis and Development		Centre pour la promotion de techniques plus respectueuses de l'environnement (Cleaner Production Centre): Chine: Les centres pour une production plus propre (CPC), programme lancé par l'ONUDI, visent à contribuer à l'amélioration des techniques de production et à l'introduction de méthodes de transformation plus éco-efficientes dans les pays en développement, afin de faciliter l'accès de leurs produits sur les marchés internationaux. Les CPC conseillent les PME en matière de gestion écologique et d'efficience énergétique.		3,211.72	27/03/2002 -
Trade Finance		Sichuan Guarantee Fund: Guarantee fund that provides guarantees to local banks to cover loans for SMEs in the city of Chengdu, Sichuan province.		3,660.86	01/09/2003 - 31/12/2006
Trade Finance		China: Training Fund Managers: 3-4 day training course for managers of venture capital funds in China.		732.17	01/09/2003 - 31/12/2003
Trade Finance		Sino-Swiss Partnership Fund / Chine: Prises de participation et prêts pour des projets de joint-ventures entre la Suisse et la Chine.		10,670.46	20/08/2001 -

Source: Doha Development Agenda Trade-Related Technical Assistance and Capacity Building Database (TCBDB); available at http://tcbdb.wto.org/index.html.

[1] The Fair Currency Alliance, a group of trade associations and unions representing manufacturing, agriculture and labor, has announced that it intends to develop a “Section 301 Petition” to address the problem of Chinese currency manipulation. See Fair Currency Alliance Hires Law Firm For ‘Section 301’ Case On Chinese Currency Manipulation, FCA press release, January 29, 2004; available at http://www.cbia.com/
Business/TradeInfo/FCA%20Release%20announcing%20law%20firm.pdf.

On March 16, 2004, the AFL-CIO and the Industrial Union Council filed a Section 301 Petition with the US Trade Representatives Office concerning China's labor practices. As summarized by the AFL-CIO:

The Petition charges that China’s brutal repression of internationally recognized workers’ rights constitutes an unfair trade practice under Section 301(d) of the Trade Act, and that such repression “burdens or restricts U.S. commerce.” It is the first time in the history of Section 301 that a petition has invoked the violation of workers’ rights as an unfair trade practice, although it is quite common for corporations to use Section 301 to challenge other unfair trade practices, such as violation of intellectual property rights.

Executive Summary of AFL-CIO Section 301 Petition; see www.aflcio.org/issuespolitics/globaleconomy/
ExecSummary301.cfm.

[2] The 16^th China’s Party Congress held in the fall of 2002 laid two cornerstones for the development of a market economy: encouragement of private entrepreneurship and protection of private property. See, e.g., Party Congress Paves Cornerstones of Market Economy, People's Daily (12 November 2002); available at http://english.peopledaily.com.cn/200211/12/eng20021112_106694.shtml. As part of the most recent amendments to the Chinese Constitution adopted at the 2nd session of the 10th National People's Congress on March 14, 2004, provisions were added protecting private property and encouraging and supporting the development of non-public economic sectors. See Top Legislature Closes Session, Adopts Amendment to Constitution, Xinhua News (March 14, 2004); available at http://news.xinhuanet.com/english/2004-03/14/content_1365556.htm.

[3] Minutes of Meeting Held in the Centre William Rappard on 10-12 and 20 December 2002, General Council, WT/GC/M/77 (13 February 2003) at para. 30.

[5] Fully Performing Commitments for Accession to WTO and Effectively Improving Transparency of Legal Systems, Speech Addressed at the Sino-American Legal Exchange Seminar by Deputy General-Director Li Yue-De, Research Department of the Legislative Affairs Office of the State Council, P.R. China.

[6] China's WTO Implementation Efforts: An Assessment of the First Nine Months of China's WTO Membership, Written Testimony of US-China Business Council prepared for the hearing held by USTR on China's compliance with its WTO commitments (September 3, 2002).

[7] Communication from China - Information Provided by China on Annex 1A of the Protocol in the context of the Transitional Review Mechanism, G/TRIMS/W/26 (11 October 2002) at II.3 and IV.8.

[8] Report of the Meeting Held on 25 October 2002, S/C/M/63 (11 November 2002) at para. 18.

[9] Transitional Review Mechanism of China - Communication from China, IP/C/W/382 (16 September 2002).

[10] Report of the Working Group on Notification Obligations and Procedures, G/L/112 (7 October 1996) at para. 13.

[11] Report (2003) of the Committee on Import Licensing to the Council for Trade in Goods, G/L/652 (28 October 2003) at para. 10.

[12] Minutes of the Regular Meeting Held on 8 May 2003, Committee on Subsidies and Countervailing Measures, G/SCM/M/46 (23 July 2003) at para. 10.

[13] See Annex F of Report (2003) of the Committee on Subsidies and Countervailing Measures, G/L/655 (4 November 2003).

[14] Summary of the Meeting Held on 7-8 November 2002, Committee on Sanitary and Phytosanitary Measures, G/SPS/R/28 (5 February 2003) at para. 108.

[15] Minutes of the Meeting of 7 November 2003, Committee on Technical Barriers to Trade, G/TBT/M/31 (9 December 2003) at para. 51.

[16] See Activities of WTO Technical Cooperation, http://www.wto.org/english/tratop_e/devel_e/teccop_e/ teccop_act_e.htm.

[17] See Note by the Secretariat: WTO Measures Relating To Developing Country Members, WT/COMTD/W/10 (8 November 1995); available at http://www.wto.org/english/tratop_e/devel_e/teccop_e/w10_e.doc.

[18] See http://www.wto.org/english/tratop_e/devel_e/teccop_e/tct_e.htm.

[19] For example, paragraph 41 of the Doha Ministerial Declaration sets out specific technical assistance and capacity building commitments on various issues such as competition policy, trade facilitation, WTO accession, and intellectual property rights. Doha WTO Ministerial Declaration, WT/MIN(01)/DEC/1 (20 November 2001) at para. 41.

[20] WT/COMTD/W/89/Rev.1 at 1 (14 January 2002).

[21] Second Joint WTO/OECD Report on Trade-Related Technical Assistance and Capacity Building (TRTA/CB), at 2 (July 2003) ("Second Joint WTO/OECD Report on TRTA/CB"). This report is available at the WTO's website: http://tcbdb.wto.org/publish/Report%202003%20final%20english%20without%20signature.pdf.

[22] Second Joint WTO/OECD Report on TRTA/CB, at 2. The TCBDB is accessible at http://tcbdb.wto.org.

[23] Second Joint WTO/OECD Report on TRTA/CB, at 1. Data were received from the following 23 bilateral donor countries: Australia, Belgium, Canada, Denmark, the European Commission, Finland, France, Germany, Ireland, Italy, Japan, the Netherlands, New Zealand, Norway (partial for 2002), Portugal, Spain, Sweden, Switzerland, the United Kingdom, the United States, the Czech Republic, Iceland, and Thailand. Id. at 4, n.7.

The following 16 multilateral agencies provided data: APEC (Asia-Pacific Economic Co-operation), AsDB (Asian Development Bank), EBRD (European Bank for Reconstruction and Development), ESCAP (United Nations Economic and Social Commission for Asia and the Pacific), ESCWA (United Nations Economic and Social Commission for West Asia), FAO (Food and Agriculture Organisation of the United Nations), IMF (International Monetary Fund), IsDB (Islamic Development Bank), ITC (International Trade Centre UNCTAD/WTO), OECD (Organisation for Economic Co-operation and Development), UNCTAD (United Nations Conference on Trade and Development), UNDP (United Nations Development Programme), UNECE (United Nations Economic Commission for Europe), UNIDO (United Nations Industrial Development Organisation), the World Bank's IDA (International Development Agency), and WTO (World Trade Organization). Id. at 4, n.8.

[24] Second Joint WTO/OECD Report on TRTA/CB, at 2-3.

[25] Second Joint WTO/OECD Report on TRTA/CB, at 3.

[26] Second Joint WTO/OECD Report on TRTA/CB, at 4.

[27] Brian L. Goldstein, Stephen J. Anderson, Foreign Contributions to China's WTO Capacity Building, The China Business Review (January -February 2002), available at http://www.chinabusinessreview.com/0201/
goldstein.html.

[28] See US Agency for International Development, United States Government Initiatives to Build Trade Capacity in Developing and Transition Countries (Main Report, October 2001) at 52.

[29] The USAID TCB database is accessible at http://qesdb.cdie.org/tcb/index.htmll.

[30] See US Agency for International Development, United States Government Initiatives to Build Trade Capacity in Developing and Transition Countries (Main Report, October 2001) at 3-4. The reported total was comprised of US$ 327 million in fiscal year 1999, US$ 457 million in fiscal year 2000, and US$ 556 million in FY 2001. See id.

[31] US Agency for International Development & US Trade Representative, U.S. Contributions to Trade Capacity Building: Improving Lives Through Trade & Aid (September 2003) at 2.

[32] See US Agency for International Development, United States Government Initiatives to Build Trade Capacity in Developing and Transition Countries (Main Report, October 2001) at 4.

[33] See http://qesdb.cdie.org/tcb/pdf/CHINAFY02.pdf.

[34] See http://qesdb.cdie.org/tcb/pdf/CHINAFY03.pdf.

[35] US Dept. of Commerce, International Trade Administration, Office of Chinese Economic Area, Market Access and Compliance, Providing Technical Assistance to China, Export America (April 2002), at 20. The article is available at http://www.ita.doc.gov/exportamerica/NewOpportunities/no_TechnicalAssistance.pdf.

[36] Providing Technical Assistance to China, Export America (April 2002), at 20-21.

[37] Providing Technical Assistance to China, Export America (April 2002), at 21.

[38] See http://www.tda.gov/region/asiapac.html.

[39] US Trade and Development Agency, Annual Report 2002, at 11.

[40] US Trade and Development Agency, Annual Report 2003, at 12.

[41] Additional information is available from the USTDA's annual reports for 2002 and 2003, available at http://www.tda.gov/abouttda/index.htmll.

[42] A China Labor Rule of Law Program; Notice of Availability of Funds and Solicitation for Cooperative Agreement Applications, 67 Fed. Reg. 50901 (Dept. of Labor, Aug. 6., 2002).

[43] See generally USAID's website at http://www.usaid.gov/our_work/democracy_and_governance/regions/
ane/china.html.

[44] See USAID China Rule of Law Data Sheet, available at http://www.usaid.gov/our_work/democracy_and_
governance/regions/ane/435-003.pdf.

[45] See USAID China Rule of Law Data Sheet, available at http://www.usaid.gov/our_work/democracy_and_
governance/regions/ane/435-003.pdf.

[46] See USAID China Rule of Law Data Sheet, available at http://www.usaid.gov/our_work/democracy_and_
governance/regions/ane/435-003.pdf.

[47] Consolidated Appropriations Act, 2004, Public Law 108–199, Title V, Sec. 526, January 24, 2004.

[48] Consolidated Appropriations Resolution, 2003, Public Law 108–7, 117 STAT. 11, 89, February 20, 2003.

[49] Foreign Operations, Export Financing, And Related Programs Appropriations Act, 2002, Public Law 107–115, 115 STAT. 2118, 2147, January 10, 2002.

[50] See http://www.delchn.cec.eu.int/en/eu_china_wto/wto9.htm.

[51] See http://europa.eu.int/comm/trade/issues/bilateral/countries/china/index_en.htm.

[52] See http://www.delchn.cec.eu.int/en/Co-operation/Project_Fiches.htm.

[53] See http://www.delchn.cec.eu.int/en/Co-operation/Project_Fiches.htm.

[54] See http://www.delchn.cec.eu.int/en/Co-operation/General_Information.htm.

[55] Additional detailed information about EU-China cooperation projects is available at a website titled "EU-China WTO Programme" located at http://www.eucnwto.com.cn/index.html. This site provides information about 118 EU-China activities over the 2001-2003 period.

Modification to laws, regulations

Committee participation

Technical assistance program from the WTO and member nations

Multilateral Agencies

Donor Countries

Ø U.S. Department of Agriculture

Ø U.S. Department of Commerce

Ø U.S. Department of Energy

TCB Categories

ØGeneral

ØRule of Law and Good Governance

ØEconomic & Social Reform

ØRegional Programmes

ØRecently Completed Projects