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The rule of law is an ongoing progress, which includes the legislation and enforcement of law. Globalization brings many social-legal problems to China. Globalization challenging to Chinese law in the form includes: The first is the principle of universalism of the law. Globalization impersonally request legal university. For example, non-discrimination including Most-favored nation and national treatment. But China’s law has many decriminal clauses aiming at foreign investors. The second is the principle of publicity of law. Promulgating laws is a symbol of transparency which globalization reqires. But China’s law and policy are lack of transparency. The third is conflict of laws. It will inevitably bring about the conflict between global rules and China’s law. That is, the composite problem of two different legal system. It may damage legal stability and authority of law. the fifth is the comparative of legal policy.In contrast to the form, the challenge has more impact in the content. The gobal operation of the economy is sapping the foundations of national economics and intended to shake off the fetter of national states, to deprive national politics power. Spurred by technological change and the globalization of economic life, the state is challenged, its sovereignty undermined and constrained, its structures unable to provide the necessary public goods. The state is unable to initiate action but is reduced instead to reacting to globalization. For example, with China’s WTO entry, WTO will challenge with China’s legal sovereignty. WTO restrict the extent of China’s legislative activities and application of law. WTO regulate national policy, and fulfil policy of procedure. but China’s legal construction doesn’t deal with the relation of law and policy. Policy secede from law. Also, WTO is entitled to supervise China’s juridical action. The second is that WTO will challenge with China’s juristic mechanism of legal regulation. WTO require reducing governmental intervention, permitting access to markets, promoting fair competition. While, China’s juristic mechanism show more state power’s intervention, less protection of rights. Current juristic mechanism of legal regulation has two problem. One is centralization of power, the other is power interventing market.
Also, the transnational corporations will request China more conditions in laws and institutions. For the transnational corporations are able to export jobs to parts of the world where labour costs and workplace obligations are lowest. They are in a position to play off countries or individual locations against one another, in a process of ‘global horse-trading’ infrastructure. They can also ‘punish’ particular countries if they seem too ‘expensive’ or ‘investment-unfriendly’. In the manufactured and controlled jungle of global production, they are able to decide for themselves their investment site, production site, tax site and residence site, and to play these off against one another. As a result, top executives can live where it is nicest to live, and pay taxes where it is cheapest. so , if China doesn’t enact laws related their interests according their demand, they will chose another countries who can provide more favor legal condition.
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