Rule of Law and Rule of Officials: Shareholder Litigation and Anti-Dumping Investigation in China

JiangYu Wang
Publication date: 
Thu, 24 Jan 2008

China has achieved considerable success in building the necessary institutions for a functional legalsystem. However, it seems that the Chinese government is more willing to nurture rule of law in certain areas, while striving to maintain excessive administrative discretion in other areas. 

Shareholders’ litigation and anti-dumping investigation are two contrasting examples. This brief will examine the evolution of shareholders’ suits in China and the government’s anti-dumping practice. It will present an analysis of the prevailing influence of law and administrative discretion on, respectively, shareholder litigation and anti-dumping investigations, and offer recommendations for future policy reforms. 
The view expressed here is that, although China will continue its journey to rule of law, legal construction in China will be mainly driven by domestic political forces rather than external influences.