Ministry of Commerce says that China has faced an increasingly difficult situation in regard to trade friction in recent years. In 2006 alone, a total of 25 countries and regions launched 86 separate anti-dumping, anti-subsidy investigations as well as inquiries into safeguard measures and special safeguard measures applicable to Chinese products, approximately 37 percent more than in 2005 and involving US$2.05 billion. In this situation, China strongly opposes trade protectionism and uses WTO rules to deal with trade friction and safeguard the rights and interests of a vast number of Chinese enterprises.

Of the 48 anti-dumping cases involving China in 2006, 16 were investigated and closed without action. A further five were closed with the products involved being subjected to market economy treatment and lower taxes. Since 2002, China has been the subject of 23 special safeguard investigations. To date, 19 of these 23 investigations have been closed and only one was not concluded in China's favor. Brazil and South Africa were also planning to launch special safeguard investigations into China. In a lengthy negotiation process, China managed to reach agreements and resolve the disputes with the two countries.

Following the issuance of a publication entitled "Guidance and Opinions for Trade Associations Involved in Anti-dumping Cases" at the end of 2005, the Ministry of Commerce promulgated its updated "Regulations on Answering Export Anti-dumping Lawsuits" in July 2006. This further defined the positions and responsibilities of the central and local governments, enterprises and intermediary organizations in the "four-sector interaction" mechanism, which was well-received by all parties.

In addition to actively dealing with foreign trade barriers, China is now looking further into cases of anti-dumping on its own shores, and has expanded coverage of trade remedy measures. In 2006, it launched 10 anti-dumping investigations into 5 imported products, adopting 13 temporary and 22 permanent anti-dumping measures and closing 9 anti-dumping cases.

By People's Daily Online