Abstract

(minor revisions 17/10/2019)The current trade tension between the U.S. and China is caused by the ineffectiveness of the WTO rules to address China's state-led economy, which utilizes SOEs to achieve the government's policy objectives. In order to deal with the ineffectiveness of the WTO rules in preventing market distortions by SOEs, the CPTPP includes rules designed to fix the problem. This paper undertakes a detailed analysis of the CPTPP's SOE rules with the aim of evaluating their adequacy to cope with the failure manifested in the WTO regime. More particularly, ...