Analyzing China's Shipbuilding Subsidies

The chapter explores the challenges of inferring and measuring the substantial subsidies provided by China to its shipbuilding industry, totaling around 90 billion US dollars between 2006 and 2013. It discusses the impact of these subsidies on global trade and market dynamics, leading to lower freight rates and increased Chinese trade by $150 billion annually. The chapter also delves into the evolution of China's industrial policy for shipbuilding, from entry subsidies to whitelist policies, and evaluates the efficiency and market effects of these subsidy combinations.