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China regrets WTO's report on tire dispute


09:48, September 06, 2011

GENEVA - China expressed its regret Monday over a World Trade Organization (WTO) ruling which rejected a Chinese complaint against "protectionist" measures taken by the US against Chinese tier imports.

"China regrets that the WTO Appellate Body in its report released on September 5, 2011 decides to uphold the panel report on United States - Measures Affecting Imports of Certain Passenger Vehicle and Light Truck Tires from China," the Chinese Preferment Mission to the WTO said in a statement.

The WTO ruled in favor of the US in a 123-page ruling Monday which centered on a 2009 US decision to impose punitive duties of 35 percent against Chinese tire imports, quoting damages to its own tire industry.

According to the statement, the US decision, a "protectionist measure ... unsupported by the US tire industry," was imposed "only to accommodate the country's domestic political pressure."

It said the punitive measure failed to help reduce US tire imports, but had hurt China's legitimate trading interests.

US tire imports from China declined by nearly 24 percent in 2010 compared to 2009 and further declined by 6 percent in the first half of 2011, the statement said. During the same period, however, the total tire imports of the US increased by more than 20 percent in 2010 compared to 2009 and further increased by 9 percent in the first half of 2011.

"The US measure only serves to chill its trading partners and distort international trade," it said.

"China urges the United States to discard promptly the special safeguard measure and to maintain a market of fair competition for Chinese enterprises," the statement read.


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