China’s Free Trade Zones: Regulatory Innovation, Legal Assessment and Economic Implication

Abstract

This article analyzes the construction of China’s Free Trade Zones (FTZs) from legal and economic perspectives and analyzes its economic implication. It presents the regulatory innovation on the FTZs and explains the legitimacy of the establishment of the FTZs. A full legal assessment on the FTZs is made and the weak points there of are indicated. To establish a legal assessment mechanism for the FTZs is considered as necessary to maintain a sound and sustainable development of the FTZs. In addition, the positive effect of the FTZs on the Chinese economy is analyzed and has been proven.

Keywords:

• economic implication
• free trade zones
• legal assessment
• regulatory innovation

Notes

The main laws and regulations for China (Shanghai) Free Trade Zone can be found at http://en.china-shftz.gov.cn/GOVERNMENT-AFFAIRS/Laws/General/

See The WTO Trade Policy Review Mechanism (TPRM).

The court website available at http://www.ftzcourt.gov.cn:8080/zmqweb/gweb/engpage/

Suggestions of Shanghai Court on Serving and Guaranteeing the Construction of China (Shanghai) FTZ available at http://shfy.chinacourt.org/article/detail/2012/11/id/783464.shtml; Plan for Judicial Protection of FTZ available at http://shfy.chinacourt.org/article/detail/2014/05/id/1294129.shtml; Trial Guideline of FTZ Disputes available at http://www.china-shftz.gov.cn/PublicInformation.aspx?GID=aa3db46e-2462-4a8e-836c-ce2be0ced65c&CID=953a259a-1544-4d72-be6a-264677089690&MenuType=1&navType=0

The FTZ Court of Arbitration available at http://www.cietac-sh.org/Trade/index_E.aspx.