• Title/Summary/Keyword: Subsidy Dispute

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A Study on the Dispute Case under the WTO ASCM - Focus on the Subsidy for Korean Shipbuilding and Hynix Semiconductor(DRAM) - (WTO보조금 협정하의 분쟁사례 연구 - 조선 및 하이닉스 반도체의 보조금 분쟁을 중심으로 -)

  • Kim, Ji-Yong
    • International Commerce and Information Review
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    • v.9 no.1
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    • pp.451-465
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    • 2007
  • It is true that every country which includes the developing country has planned own economic development through government subsidies. Korea also has developed their some major industry through supporting government subsidies. Under the WTO structure, however, government's specific supports for export firms come under prohibited subsidy and subsidy supporting must be based on WTO ASCM(Agreement on Subsidies and Countervailing Measures). The purpose of this paper was to study on the WTO ASCM and to analyze cases on the shipbuilding and Hynix DRAM dispute which Korean concerned major subsidy issue. Korea has been undergoing subsidy dispute with EU and U.S.A. concerned matter of shipbuilding and Hynix DRAM respectively. From this research results were as follow : First of all, the WTO ASCM introduced a definition of subsidy and divided subsidies into three categories and was legally bound through dispute settlement mechanism and implemented by all WTO members. Also, through analyzing cases, results were indicated that Korea wins a lawsuit against the matter of shipbuilding subsidy whereas losing the lawsuit against the matter of DRAM subsidy. It means that the case of shipbuilding subsidy do not violation WTO ASCM and the case of Hynix DARAM is against WTO ASCM. Additionally, as we see the dispute cases concerned Korean industry, it is necessary that government should operate subsidies which were provided for certain governmental policy as consisted with WTO ASCM.

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Aerospace Industry promotion under WTO regime (WTO 체제 내의 항공우주산업진흥)

  • Lee, Joon
    • Current Industrial and Technological Trends in Aerospace
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    • v.6 no.2
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    • pp.11-21
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    • 2008
  • This paper focuses on finding the way of aerospace industry promotion in Korea compatible with fair trade system under international rules by considering and analysing the WTO subsidy rules and WTO dispute settlement cases. As for subsidy rules in WTO, the paper deals with two matters such as financial contribution and benefit and further studies provisions on the prohibited subsidies and actionable subsidies. And as for the dispute settlement matters, it reviews the Brazil-Canada case and the US-EC case on civil aircraft export subsidies. While aerospace industry in Korea is not yet internationally competitive still requiring government's continuous supports, it must not be in conflict with subsidy rules under WTO mechanism. This paper makes several suggestions to meet these conditions.

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The investigation on international trade dispute between Korea and Japan. (한.일간의 무역분쟁에 관한 사례연구)

  • Lee, Jong-Won
    • International Commerce and Information Review
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    • v.9 no.3
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    • pp.323-341
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    • 2007
  • International trade conflict has been increased since WTO has appeared. Like this, the cause that the number of international trade conflict has been increased is by means of enlargement of agreements range. But some new facts have been added. They are Anti-dumping, subsidy, Countervailing duty, Safeguard, the norm of intellectual property right, the procedure of permitting importing products, Technical Barriers, agricultural products, and the area of textile. Since Japanese government has decided to give lavor import quarters to China without permission of Korea, Korean government formally presented the system of lavor import quarter to WTO DSB due to WTO agreement disobedience of Japan. Accordingly, this paper has the following purpose; to analyze situation on fiber dispute of Japan. Some methods about trade barrier against Japan need to be solved from another viewpoint owing to lavor IQ dispute.

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An Analysis of WTO Disputes in Aircraft Manufacturing Industry (항공기 제조산업 관련 WTO 분쟁사례 분석)

  • Lee, Hae Jun;Kim, Sun Ihee
    • Journal of the Korean Society for Aviation and Aeronautics
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    • v.27 no.4
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    • pp.83-95
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    • 2019
  • In order to promote the domestic aircraft manufacturing industry, this study analyzed the limitations of the preceding study on the WTO dispute concerning civil aircraft by summarizing the latest developments and issues in the mid-range aircraft dispute between Brazil and Canada and the large civil aircraft dispute between the United States and the EU. Based on the results of the study, we should look closely at WTO regulations and existing cases of disputes to find maximum support measures, and we believe that in order to stimulate the domestic aircraft manufacturing industry, we should refrain from publicly specifying support measures in the data, such as laws and policies, utilize the WTO SCM Agreement exceptions, and strengthen links with international cooperation and other industries.

A Study on the Legal Issues on the Payment of Renewable Energy Subsidies (신재생에너지 보조금 지급에 관한 법적쟁점 고찰)

  • Park, Ji-Eun;Lee, Yang-Kee
    • Korea Trade Review
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    • v.43 no.4
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    • pp.111-130
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    • 2018
  • In December 2015, the Paris Agreement was adopted to cope with global warming caused by greenhouse gas emission and to prevent the average temperature of the Earth from rising. Renewable energy sources have become important to address environmental problems such as rising sea levels, depletion of forests and fine dust. In order to grow renewable energy, government support is needed. However, excessive government support for the renewable energy industry could pose problems that include undermining fair competition and raising costs. The WTO already has heard cases involving renewable energy subsidies. This article focuses on subsidies and countervailing tariffs as well as examines WTO disputes related to renewable subsidies, and also analyze legal issues that are problematic in granting subsidies for the development of new renewable energy industries. In WTO dispute involving renewable energy subsidies, legal issues are SCM Agreement article 2 Specificity, article 3 (b) import substitution subsidy and GATT article 20. This paper proposes improvement measures such as the reintroduction of article 8 Non-Actionable Subsidies or special provisions on energy subsidy. In addition, it is necessary to clarify the interpretation of Article 3 of the subsidy agreement. However, excessive government subsidies can lead to trade friction, so the WTO rules should be improved in line with the WTO goals of environmental protection, equity in free trade, and sustainable development.

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