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Study on SA8000’s Characteristics and Countermeasures

Author: MaXiaoLi
Tutor: SuKeWu
School: Henan University
Course: National Economics
Keywords: SA8000 Trade barrier Countermeasure
CLC: F752
Type: Master's thesis
Year: 2005
Downloads: 703
Quote: 7
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Abstract

China’s foreign trade has got considerable development after the accession to the WTO, the total amount of import and export is up to 1154.79 billion $ in 2004, China is now the 3rd largest trade nation in world commerce, the ratio of foreign trade dependence is more than 60%. With the renovation of protectionism and trade barrier form, western developed countries carry out SA8000 which aims at calling attention to physical and mental health and rights of laborers after introducing such non-tariff trade barriers as technological barrier, anti-dumping, etc. SA8000 has not only catered to developed countries that make an excuse to protect human rights and environment, thus protect the national industry, suppress the competition advantage of developing countries’ labor-intensive products, but also met the wills of the public and consumers of foreign countries. Therefore the characteristics of SA8000, covert and dual nature, make this new trade barrier form pursue smoothly. Through analyzing the comparative advantage, the foreign export of China still takes labor-intensive product as the core, especially concentrates on such products as toys, apparel, textiles, cosmetics, house wares, etc, which are emphatically standardized targets of SA8000. SA8000 is a new means that developed countries implement protectionism .It has not yet attracted great attention of our country’s academia and business circles at present. With the method of combining determine the nature with quantitative analysis, this thesis analyses the nature of SA8000, its impaction on china economy, reasons for its implement and how to tackle it, and tries to make slender contribution to China’s foreign trade development. The whole thesis is divided into three parts: introduction, main body and conclusion. In the part of introduction, it tells current research situation and basic points of view on SA8000 in the academia at present. The main body includes four parts: PartⅠsummarizes the standard of SA8000 and expounds its basic content, and also introduces 2001 edition SA8000 standard in details in the appendix part, which is regarded as the foundation of this thesis’s analysis. By expositing the background of SA8000 standard’s emergence, content, procedures of certification and function, the thesis points out that SA8000 is a kind of means which developed countries weaken developing countries’ competition advantage. Part Ⅱ emphatically expounds the fact that SA8000 is a new-type trade barrier. Decrees No. 4, 2005 of the Ministry of Commerce of the People’s Republic of China promulgates “Rules on the Investigation of Barriers to Foreign Trade” and makes stipulations to the trade barrier. This part proves SA8000 a trade barrier through four respects. Firstly, SA8000 violates the rule of WTO; Secondly, SA8000 raises the cost of the export enterprise; Thirdly, SA8000 restrains the quantity of the export product, worsens the terms of trade, influences the upgrade of industrial structure and the employment of workforce. Finally, compared with other non-tariff trade barriers the thesis outstands the characteristics of SA8000, which is regarded as the new-type trade barrier. Part Ⅲ analyses the reason that promotes SA8000 to implement. Since SA8000 is a trade barrier and restricts the advantage of labor-intensive products of developing countries, then why does it still pursue in international trade? This part analyses from two respects. Firstly, it carries on the discussion between developed countries and developing countries and proves the result that implementation of SA8000 is promoted by game theory; Secondly, it discusses the reason that implementation of SA8000 is aresult of comprehensive function of other factors, such as consumers’ impetus, investors promoting, the main body TNC promoting SA8000 in China, foreign government, enterprise and labored promoting etc. Part Ⅳ states the tactics of meeting SA8000 from two aspects. Firstly, it introduces the current situation of SA8000 authentication in developed countries and china, analyses the char

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