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SUMMARY OF U.S.-CHINA BILATERAL WTO AGREEMENT》 《SUMMARY OF U.S.-CHINA BILATERAL WTO AGREEMENT》
February 2, 2000
AGRICULTURE
The Agreement would eliminate barriers and increase access for U.S. exports across a broad range of commodities. Commitments include:
Significant cuts in tariffs that will be completed by January 2004. Overall average for agricultural products will be 17.5 percent and for U.S. priority products 14 percent (down from 31 percent).
Establishment of a tariff-rate quota system for imports of bulk commodities, e.g., wheat, corn, cotton, barley, and rice, that provides a share of the TRQ for private traders. Specific rules on how the TRQ will operate and increased transparency in the process will help ensure that imports occur. Significant and growing quota quantities subject to tariffs that average between 1-3 percent.
Immediate elimination of the tariff-rate quota system for barley, peanut oil, sunflower-seed oil, cottonseed oil, and a phase-out for soybean oil.
The right to import and distribute products without going through a state-trading enterprise or middleman.
Elimination of export subsidies on agricultural products.
China has also agreed to the elimination of SPS barriers that are not based on scientific evidence.
INDUSTRIAL PRODUCTS
China would lower tariffs and eliminate broad systemic barriers to U.S. exports, such as limits on who can import goods and distribute them in China, as well as barriers such as quotas and licenses on U.S. products.
TARIFFS
Tariffs cut from an average of 24.6 percent to an average of 9.4 percent overall and 7.1 percent on U.S. priority products.
China will participate in the Information Technology Agreement (ITA) and eliminate all tariffs on products such as computers, telecommunications equipment, semiconductors, computer equipment, and other high-technology products.
In the auto sector, China will cut tariffs from the current 80-100% level to 25% by mid-2006, with the largest cuts in the first years after accession.
Auto parts tariffs will be cut to an average of 10% by mid-2006.
In the wood and paper sectors, tariffs will drop from present levels of 12?18% on wood and 15-25% on paper down to levels generally between 5% and 7.5%.
China will also be implementing the vast majority of the chemical harmonization initiative. Under that initiative, tariffs will be at 0, 5.5 and 6.5 percent for products in each category.
ELIMINATION OF QUOTAS AND LICENSES
WTO rules bar quotas and other quantitative restrictions. China has agreed to eliminate these restrictions with phase-ins limited to five years.
Quotas: China will eliminate existing quotas upon accession for the top U.S. priorities (e.g. optic fiber cable). It will phase out remaining quotas, generally by 2002, but no later than 2005.
Quotas will grow from current trade levels at a 15% annual rate in order to ensure that market access increases progressively.
Auto quotas will be phased out by 2005. In the interim, the base-level quota will be $6 billion (the level prior to China's auto industrial policy), and this will grow by 15% annually until elimination. RIGHT TO IMPORT AND DISTRIBUTE
