China rejects OECD report on industrial subsidies as 'one-sided' amid EU trade tensions
China has rejected an OECD report on industrial subsidies as 'one-sided,' escalating trade tensions with the EU. The dispute centers on industrial policy in hi-tech and strategic sectors. China's Ministry of Commerce stated on Thursday that the report's definition of subsidies lacks a unified standard and statistical framework, deviating from WTO consensus. It argued that the report attributes Chinese firms' global market share growth solely to government subsidies, ignoring their competitive advantages in economies of scale, production efficiency, and technological upgrading. The OECD report, based on its 'Manufacturing Groups and Industrial Corporations' database, identified solar panels, semiconductors, aluminium, steel, and shipbuilding as the top five subsidy recipients among 15 tracked sectors.
Key facts
- China rejected an OECD report on industrial subsidies as 'one-sided'.
- The dispute occurs amid EU trade tensions.
- Industrial policy is a major point of contention in global trade, especially in hi-tech and strategic sectors.
- The Ministry of Commerce issued a statement on Thursday criticizing the report.
- The report's definition of 'subsidies' lacks a unified standard and statistical framework, according to China.
- China claims the report deviates from WTO consensus.
- The report attributes Chinese firms' global market share growth solely to government subsidies.
- China argues the report overlooks competitive advantages in economies of scale, production efficiency, and technological upgrading.
- The OECD report used the 'Manufacturing Groups and Industrial Corporations' database.
- Top five subsidy recipients: solar panels, semiconductors, aluminium, steel, and shipbuilding among 15 sectors.
Entities
Institutions
- OECD
- World Trade Organization
- Ministry of Commerce of China
Locations
- China
- European Union