Abstract:The U.S. formulated the Competitive Neutrality as an import issue since 2011 after the Deputy Secretary of State made a statement of it. TPP and OECD followed the U.S. approach and made sophisticated study on the rule of Competitive Neutrality. This paper focuses on the origin and the meaning of the conception, tries to make clear how important this issue is and how the Chinese government should do facing this issue. This paper also suggests that the Chinese government take two steps. First, the Chinese government should be involved in negotiations as soon and as deeply possible. Second, the Chinese government should take itself as a key-role member of the international law-making community.