1、 https:/crsreports.congress.gov Updated January 10, 2019Chinas Status as a Nonmarket Economy (NME)When China joined the World Trade Organization (WTO) in 2001, it agreed to allow other WTO members to continue to use an alternative (surrogate country) methodology for assessing prices and costs on pro
2、ducts subject to anti-dumping (AD) measures. This occurred because other WTO members argued that distortions in the Chinese economy caused by government intervention would make it impractical in many cases to use Chinese prices and costs for determining dumping margins. China contends that language
3、in its WTO accession protocol required all WTO members to terminate their use of the alternative methodology by December 11, 2016, including the United States, which has classified China as a nonmarket economy (NME) for trade remedy cases since 1981. The United States and other WTO members argue tha
4、t that the WTO language did not automatically obligate them to extend market economy status (MES) to China. On December 12, 2016, China initiated a WTO dispute settlement case against the United States and the European Union for not affording China MES status. The Mechanics of NME Treatment and Dump