Source:HIKING(BINZHOU) INTERNATIONAL TRADING SERVICE CO.,LTD AddTime:2014/12/15 15:16:38
What is the trade protectionism?
Trade protectionism is refers through the tariffs and non-tariff barriers to restrict imports, international trade theory or policy to protect domestic industries from foreign competition in product. Tariffs, import quotas, exchange controls, cumbersome import and export procedures, discriminatory government procurement policies are important means of international trade protection.
The new features of trade protectionism are those?
Trade protectionism has the following characteristics: the main protection by means of tariff to non-tariff measures. The formation of the international trade and tariff negotiations in a series of resolutions, greatly reducing the general level of tariffs, so countries in favour of non-tariff measures to impose protectionist policies. These measures are flexible, concealment, restrictive, more than half of total world trade by various non-tariff restrictions. The protection policy of products targeted more and more strong, such as for industrial products to limit and reduce and reduce, but for the protection of agricultural products rarely loose, for industrial products in different commodities restrictions also have very big difference. To distinguish between the implementation of protection policies for countries and regions to strengthen. Generally a country is always directed at their own direct, powerful competitor to strengthen protectionist policies, while others are appropriate to relax. Most countries in the world are based on its own national conditions and situation of the competitors, respectively by free trade and protectionism, in order to protect the sustainable development of its economy, enhance its trade protectionism
The international competitiveness. The purpose of protection. Mainly in order to protect the domestic market in order to promote the development of domestic productivity. With the early mercantilist trade protection purpose is not the same. Mercantilism restricted imports and encourage exports, its purpose is to accumulate wealth of gold and silver; trade protection advocates the aim is to improve the productivity of wealth creation. Performance are mainly export subsidies and import tariffs and import quotas. Various measures to restrict imports are widely use the state, protecting the domestic market from foreign competition in goods, and preferential treatment and subsidies for domestic goods to encourage exports. The priority protection. Focus on the protection of the object is that it is of great significance to national independence and economic development of the industry. Lester thinks, in a state of all kinds of industry, industry is the most important industrial productivity, will bring the level of agricultural production to drive up. So he thinks, agriculture is not in need of protection, not to restrict imports of agricultural products, otherwise it can not achieve the cheap food and raw materials from foreign countries, it would not be conducive to the development of national industry. In the industry, is also not all departments need to protect. The need to protect those childish and promising industry, are those that require substantial investment is established and the production is the most important necessities industrial. The duration of protection. Otherwise, the protection of domestic industry should never be indefinitely, and there will be the protection of backward and protect the low efficiency of the outcome. Some are protected in a certain period of industrial sector, when the price of its products has been lower than the prices of similar products abroad, can reduce the degree of protection or complete withdrawal of protection, put into the international free competition in the market. Some protected industries, after a period of protection after a certain there is still no clear progress, leaving the government to give assistance and support is still difficult to develop independently, suggesting that they are not suitable to be protected object, the government should remove their protection, left to its own devices. The term of protection of the industrial sector the most length shall not exceed 30 years, otherwise, would not be conducive to the development of economy and the improvement of productivity.
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