Hang Yiyi: Interpretation of the dramatic changes in the special case of Chinese and American tires

The Obama administration has announced a high-profile announcement of a “punitive” anti-dumping duty on Chinese car tires, which has caused the diplomatic and commercial departments of the two countries to quarrel with each other. However, suddenly the U.S. International Trade Court ruled in the “Anti-Dumping and Anti-subsidy Investigation Case of the Hebei Xingmao Tyre Co., Ltd. against the U.S. Department of Commerce”, but it also caused the Obama Administration’s “punitive” anti-dumping duties to face a brake. The bad news is that Hebei Xingmao Tire Co., Ltd. has filed a lawsuit in the United States to temporarily solve the problem of the Chinese tire industry.

The Obama administration’s decision to impose a “punitive” anti-dumping duty on China’s auto tires is based on the requirements of the American Iron and Steel Workers’ Federation. The U.S. Steel Workers’ Union is a trade union organization. The U.S. labor union is the organization of the U.S. working class. The workers are an important ticket for the U.S. Democratic Party. In order to please the trade unions, Obama seems to have to make some protectionist trade policies. The US government is divided into three powers, and the independence of the court is very strong. The court's decision must be respected by the government. If the government does not agree, it must still be resolved through time-consuming and laborious lawsuits.

Of course, the political struggle among nations will have an impact on the U.S. government. The impact on the tire case depends on whether the relevant US department will continue to engage in litigation against China’s Hebei Xingmao Tyre Co., Ltd. Generally speaking, as long as the US International Trade Court decides, the relevant US parties will not continue the possibility of this action. In this way, the Sino-American tire case will lose its significance. The Obama administration's decision to impose "punitive" anti-dumping duties on China's auto tires can only be eliminated. In fact, the U.S. International Trade Court has instead solved the Obama administration. Obama partly satisfied the requirements of the union, but the court ruled that this requirement could not be achieved and that Obama could not do anything. The dissatisfaction of the union may point to the court, but the United States is a society ruled by law and the court has ruled that dissatisfaction is useless.

Some people may have relations with Hu Jintao’s visit to the United States to participate in several “peaks” and Hu’s meetings. Why did the US Court of International Trade decide not to give up early and sentence at this time? This kind of guess is Hu guess, not detached. The US judicial system cannot be arbitrarily intervened by the government. This is the bottom line of the American legal society. The judge of the United States, the government has the right to nominate, it must be approved by the parliament. Unlike government officials, judges can do everything they can to make a long-term retirement. Some judges, even if they are nominated by the government, may cause problems for the government and senior officials when making judgments because they do not need to look at the faces of the government and officials. As a judge, the most important thing is not to make mistakes. If it is wrong, the dingy underground station is even in jail, it is absolutely unnecessary.

Because of this kind of mechanism, the U.S. government has a lot of difficulties for one or a few people to have the final say. If the parliament and the judicial system think that the government's policies are inappropriate, they will use fixed procedures to intervene in the government and change the government's decision. Therefore, if foreign countries are dissatisfied with the practice of the U.S. government, in addition to the inter-governmental dialogue, they also need to lobby in the U.S. parliament, go to court and the U.S. government to file lawsuits, and express opinions in the U.S. media. In the case of the Sino-US tire dispute, although the actions of the diplomatic and commercial sector were useful, there was no one-sided complaint from Hebei Xingmao Tyre Co., Ltd.. Therefore, the wisdom of some diplomatic storms is very important.

Many international trade disputes can be resolved through litigation. However, many Chinese companies are not used to this. Some companies have small calculations. It is costly to start a lawsuit against yourself. If you lose, you will lose all; if you win, you may benefit more from other companies. As a result, companies handed over problems and allowed their governments to negotiate, negotiate, and protest with foreign governments. Perhaps, the Chinese industry must also have a code of conduct. Hebei Xingmao Tire Co., Ltd. represents the same industry to file a lawsuit. The beneficiary company should share the relevant expenses; in the case of winning the lawsuit, the same industry should give appropriate returns.

On the other hand, although Hebei Xingmao Tire Co., Ltd. won the lawsuit on behalf of the Chinese automobile tires, the Chinese tire industry is still not happy to forget the cause of the Sino-American tires case. The international sales price of Chinese auto tires is too low, and the foreign working class is very unhappy. It is not just car tyres. All export products must follow this point: The price of goods sold to foreigners cannot be too cheap. The practice of bargaining with each other in the same industry and causing price vicious competition should stop.

The Sino-American tire case once again gave the Chinese a case of international trade disputes. It is true that Western countries such as the United States and Europe are sometimes overbearing, but in many things, they are very reasonable. The Chinese often say that “we say what we say”. The US and European communities emphasize the procedures and rules. To understand this, in some international affairs, if we feel bad, then we don't need to be angry and vent emotionally. In fact, if the "say words" plus procedures and rules, the needless quarrel between China and the West can be reduced a lot.

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