United States Challenges China’s Price Support and Market Access

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Experts present research at 2018 AAEA Annual Meeting.

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The United States is challenging China’s prices support during 2012-15 as exceeding its limits by nearly $100 billion per year for the three grains

The World Trade Organization (WTO) has rules for measurement of market price support and administration of import access. China’s price support for wheat, rice and corn skyrocketed after 2011, while imports have remained below China’s commitments. In a dispute, U.S. Chief Agriculture Negotiator Ambassador Gregg Doud calls the largest agricultural case brought to the WTO, the United States is challenging China’s prices support during 2012-15 as exceeding its limits by nearly $100 billion per year for the three grains. It is also challenging China’s administration of low-tariff imports.

In a Selected Presentation Paper Session at the 2018 AAEA Annual Meeting, four authors will explore the impact of Chinese price support and trade policy on access to its market, the effect of foreign regulatory measures on Chinese exporters, and China’s border trade with Myanmar. The session “International Trade – Agricultural Trade and China” will take place on Tuesday, August 7 at 1:00 pm – 2:30 pm in Park Tower 8219 at the Washington Marriott Wardman Park.

One author, Professor David Orden from Virginia Tech says, “This session offers an opportunity to understand the legal and economic issues over China’s recent high levels of price support in advance of the panel ruling, and the policy and political responses that will arise when the panel issues its report.”

Another author, Bowen Chen from Kansas State University mentions, “The major food exporters such as the U.S. could largely benefit from the ongoing agricultural liberalization in China” including better administration of its import access.

Zhongmin Xie from Renmin University of China, and author of another presentation in this session says, “Although Chinese exporters face a lot of regulatory measures, they can have beneficial effects by motivating these exporters to make technical progress and create better and safer products.”

Over 1600 participants are expected to attend the 2018 AAEA Annual Meeting, taking place August 5-7.

If you are interested in attending the 2018 AAEA Annual Meeting in Washington, D.C. or simply set up an interview with any of the authors, please contact Allison Scheetz in the AAEA Business Office. You can also learn more on our Annual Meeting Media Kit page.

ABOUT AAEA: Established in 1910, the Agricultural & Applied Economics Association (AAEA) is the leading professional association for agricultural and applied economists, with 2,500 members in more than 60 countries. Members of the AAEA work in academic or government institutions as well as in industry and not-for-profit organizations, and engage in a variety of research, teaching, and outreach activities in the areas of agriculture, the environment, food, health, and international development. The AAEA publishes two journals, the American Journal of Agricultural Economics and Applied Economic Perspectives & Policy, as well as the online magazine Choices. To learn more, visit http://www.aaea.org.

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Allison Scheetz
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