This thesis examines the Surrogate Country System adopted by WTO members in their antidumping investigations against non-market-economy (NME) countries. In this paper, the Author points out that the existing relevant WTO regulations can easily become importing countries' tool of protectionism. Meanwhile, the obvious legal gap in the WTO laws helps the protectionism by leaving large discretion to importing countries. To reveal the irrationalities of the Surrogate Country System, this paper uses China, a typical NME country, as a sample to display how the system is applied in practice. Then, the paper examines the irrationalities of existing regulations. Towards above issues, the Author puts forward several proposals in Chapter 4. The Author argues for distinguishing transformational countries from NME countries. In cases involving transformational countries, the Author proposes a three-step methodology to calculate the normal value. The Author also provides several strategies for Chinese Government and exporters.

This thesis examines the Surrogate Country System adopted by WTO members in their antidumping investigations against non-market-economy (NME) countries. In this paper, the Author points out that the existing relevant WTO regulations can easily become importing countries' tool of protectionism. Meanwhile, the obvious legal gap in the WTO laws helps the protectionism by leaving large discretion to importing countries. To reveal the irrationalities of the Surrogate Country System, this paper uses China, a typical NME country, as a sample to display how the system is applied in practice. Then, the paper examines the irrationalities of existing regulations. Towards above issues, the Author puts forward several proposals in Chapter 4. The Author argues for distinguishing transformational countries from NME countries. In cases involving transformational countries, the Author proposes a three-step methodology to calculate the normal value. The Author also provides several strategies for Chinese Government and exporters.