Research on Aquacultural Trade and Policy - Three Essays on China’s Aquatic Product Trade

Abstract

This dissertation consists of three chapters, discussing the issue of international aquatic product trade. The purpose of first chapter is to determine the effects of American antidumping duty on China’s shrimp market by using the Equilibrium Displacement Model (EDM). In this chapter, the change of price and production in China’s domestic market and in the world market after the imposition of antidumping duty, as well as the welfare consequences were discussed. Antidumping tariff imposed by U.S. have reduced the shrimp price in China’s domestic market. It also reduced the quantity of Chinese shrimp exports to U.S. For welfare effect analysis, both Chinese producers and U.S. consumers were hurt by this policy. However, U.S. producers and government are gained, and their gains can be used to offset losses to U.S. consumers. Further, the discussion about whether subsidy on fishery industry should be cancelled is severe at the moment. The second chapter takes consideration of the welfare of producers and consumers on both retail level and farm level to find out the effectiveness of subsidy. The result in this chapter indicates that the subsidy increase leads to the increase in all levels of producers and consumers' welfare. It influences consumers’ welfare more significantly than it does on producers. Lastly, Japan is one of the largest shrimp importing countries. It is also the major shrimp export market to China. However, competition in Japan’s shrimp import market is severe and China’s shrimp lack competitive power on this market. The third chapter used source-differentiated CBS model to analyze Japan’s shrimp import market. The estimation of Japan's shrimp import demand uncovers the situation of Japan's shrimp import market. Further, it discovers China’s frozen shrimps do not have strong competitiveness in Japan’s market, while shrimp products do. In addition, suggestion is put forth for producers and policy makers.