China: Subsidy to JISCO Hongxing Steel

Measure #13105 | Published 22 Dec 2016 ▲


 On 8 September 2016, according to media reports, the Chinese local government in Gansu provided 136 million RMB (ca. 27.13 million USD) to the steel company JISCO Hongxing Steel for the relocation of its workers following a capacity reduction.
On 25 November 2016, it received further 90.11 million RMB (13 million USD) for the same project.
A state measure in the GTA database is assessed solely in terms of the extent to which its implementation affects the extent of discrimination against foreign commercial interests. On this metric, the state aid proposed here is discriminatory.

Any Evidence-Based Deliberation:

Question Result
Is there anything in the public record to suggest that evidence of the effectiveness of the proposed measure was considered during official deliberations?
Is there any evidence that alternatives to the proposed measure were considered?
Is there anything in the public record that suggests that empirical evidence informed the comparison across the alternatives available to government?
Was such evidence identified?
Is such evidence publicly available?
Did the official decision-maker in question provide an explanation as to why a chosen measure was favoured over alternatives?
Is there any evidence to suggest that potentially affected trading partners were consulted before the measures were taken?
Is there any evidence that safeguards have been put in place to ensure that implementation of the initiative is transparent and non-discriminatory?
Did the government state its intention to review the measure within one year of implementation?

Implementing Jurisdiction:

Affected Trading Partners:

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Measure type:

Affected Sectors:

Affected Tariff Lines:

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Date Discovered:

Implemented: Yes

Date of inception: 8 Sep 2016

GTA Evaluation: Amber


Media report "JISCO Hongxing Steel receives subsidy from local government". Available at

Government Response:

Glossary of trade terms