EconomicWatch:Chinarejectsill-foundedU.S.petitionagainstitsshipbuilders_GuangmingOnlineBEIJING,March16(Xinhua)--ThelatestpetitionfromfiveU.S.laborunionsrequestingtheBidenAdministrationtoreviewChina'sso-calledsubsidiesforitsshipbuildershaspromptedabacklashfromChina,callingthemoveill-foundedandhazardous.Underaso-calledsection301case,theunionsurgedtheOfficeoftheU.S.TradeRepresentativetotakemeasures,includingtheimpositionofportfeesonChinese-builtshipsthatdockatU.S.ports,despitetherebeingnosuchprecedent,andthecreationofafundwithcontributionsfromtheaforementionedfeestohelpthedomesticindustryanditsworkerscompete.ILL-FOUNDEDACCUSATIONSChineselegalandindustrialexpertsviewthepetitionasachoreographedmoveaimedatseeking"remedies"foranindustryonthedecline,intotaldisregardoftherealcausesofthedecline,includingtheevolvingglobalcomparativeadvantagesandthelackofskilledU.S.workers.Employmentofmarineengineersandnavalarchitectsisprojectedtoshow"littleornochange"from2022to2032intheUnitedStates,accordingtotheU.S.BureauofLaborStatistics.However,suchjobsareexpandingincountriesincludingtheRepublicofKoreaandChina.SunLei,seniorpartnerwithDentons,saidthatthecurrentglobalshareoftheU.S.shipbuildingindustryhasdeclineddrastically,butnocausallinkcanbeestablishedbetweenthedeclineandChina'sindustrialpoliciesorsubsidies.Afterlookingintothispetition,SunsaidthatthegoaloftheU.S.domesticindustrymaynotbetoimposetariffsorothertaxationmeasuresonChina'sshippingservicesorships,buttourgetheU.S.governmenttoincreasepolicyandsubsidysupportforitsdomesticshippingandshipbuildingindustries."IunderstandthereisaneedontheU.S.sidetoadjustitssupplychain,butIthinktheAmericansknowclearlythatit'sunrealistictobringthewholesupplychainback,"hesaid."Theproblemsconcerningsupplychainsneedtobesolvedwithallrelevantcountries,suchastheRepublicofKorea(anothershipbuildinggiant)."China'sMinistryofCommerce(MOC)onThursdayvoicedresoluteoppositiontothemove,sayingthisunilateraltradeprotectionismintheshipbuildingsectorignoresWorldTradeOrganization(WTO)rules.NotingthattheU.S.sideblamesChinaforitsownindustrialdevelopmentproblemsintheabsenceofanyfactualbasis,theMOCsaidthattheaccusationsagainstChinaare"totallyuntenable."MOCSpokespersonHeYadongtoldreportersthatChinapayscloseattentiontothismatterandwilltakeallnecessarymeasurestofirmlydefenditslegitimaterightsandinterests.Loudobjectionswerealsovoicedonsocialmediaplatforms,withsomecommentsonChina'sWeibodescribingtheunions'demandofaportfeeonChinese-builtshipsthatdockatU.S.portsaslikerobbery.OnecommentonXstated,"TheUnitedStatesdon'tgettobeNo.1foreveralwaysit'snotnecessarilybadforyoutonotbe."SomehaveindicatedpoliticsatplayinanelectionyearintheUnitedStates,whileothersexpresseddeepworriesoverthemove'spotentiallyhazardousimpactonglobaltrade.LiuCungen,professorwithShanghaiJiaotongUniversity,attributedtherapidgrowthofChina'sshipbuildingindustrytothecountry'stechnologicalprogressandcompleteindustrialchain.CuiFan,professorwiththeSchoolofInternationalTradeandEconomicsattheBeijing-basedUniversityofInternationalBusinessandEconomics,saidthatthegrowthofChina'sshipbuildingsectorwasthenaturalresultofChina'scomparativeadvantagesformedalongwiththedevelopmentofglobalindustriesoverthepastdecades."Theproductioncycleoftheshipbuildingindustryislong,andittakesalongtimeforshipbusinessestorecovercosts.Inthiscase,allshipbuildingcountrieshaveusedexportcreditmeasurestoacertainextent,whicharealsoallowedbytheWTO,"CuiwasquotedassayingbyYicai,aShanghai-basedbusinessandfinancialmediaoutlet.CONCERNSOFHAZARDOUSIMPACTInaneraofincreasinguncertainties,expertssay,theworld'smajorshipbuildingcountriesshouldstrengthensolidarityandmaintainhealthycompetitionamongshipbuildingenterprises,insteadoftryingtoholdbackothers'development.Ifthemeasuresareintroduced,futureordersfornewshipswillbehit,whilefreightforwarderswillalsobegreatlyaffected,expertswarn.InOctober2023,ashipbuildingleaders'summitinYantai,eastChina'sShandongProvince,broughttogetherrepresentativesfromJapan,Europe,China,theRepublicofKoreaandtheUnitedStates.Themeetingissuedastatementassertingthat,facedwithmultiplechallengesandopportunities,allpartiesbelievedthattheworld'smajorshipbuildingcountriesshouldstrengthenunityanddeepenthesustainabledevelopmentoftheworld'sshipbuildingindustry.Italsocalledformaintainingfairandhealthycompetitionamongshipbuildingenterprises.SunLeisaidthatfromthesupplyside,companiesintheupstreamofthesupplychainarecloselyrelatedtotheshippingindustry."Fromthedemandside,forthoseexportcompaniesthatrelyonChinese-madeshipsforinternationaltrade,traderemedymeasuresmayleadtoanincreaseintransportationcostsandaffectthecompetitivenessofproductsintheinternationalmarket,especiallytheU.S.market."Intheviewofexperts,theshipbuildingindustryneedsmorecooperationfrommajorshipbuildingcountriestocopewithchallengessuchaseconomicuncertainties,environmentalregulations,technicalrulesandmaritimesafety.Editor:DisclaimerTheviewsandopinionsexpressedinthisarticlearethoseoftheauthor's,GMW.cnmakesnorepresentationsastoaccuracy,suitability,orvalidityofanyinformationonthissiteandwillnotbeliableforanyerrors,omissions,ordelaysinthisinformation.