China rejected a recent report on industrial subsidies from the Organization for Economic Co-operation and Development, labeling its conclusions "one-sided and arbitrary."
The OECD report, released earlier this week, stated that government subsidies have been a key driver behind the rapid global expansion of Chinese businesses over the past two decades, as those firms have received three to eight times more support than their competitors.
In its response to the report, China's commerce ministry said Thursday that the government's subsidy policies strictly comply with World Trade Organization rules and fulfill all transparency obligations.
The ministry criticized the OECD's methodology, arguing that the report suffers from loose definitions, biased sampling, and a lack of unified statistical standards.
Furthermore, the ministry said, attributing the growth of Chinese firms' global market share solely to state subsidies completely ignored their true core advantages, including economies of scale, production efficiency, and rapid technological innovation.
