AFP, Washington :
The United States on Wednesday rejected as “baseless” China’s retaliatory tariffs and complaint in the World Trade Organization over the US tariffs recently imposed on steel and aluminum imports.
President Donald Trump imposed tariffs of 25 percent on steel and 15 percent on aluminum early last month, citing national security concerns.
But China invoked the WTO dispute process under a different rule, which does not apply, meaning Beijing’s threat of retaliatory tariffs on $3 billion in US exports is not justified, the US Trade Representative’s office said in a statement.
“China’s request for consultations… is completely baseless” because the US tariffs “address the national security threat posed by imports of steel and aluminum” and are not part of a safeguard action, USTR said.
A request for consultation is the first step in the WTO’s dispute settlement process.
WTO allows temporary tariffs on imports-known as safeguards-as an emergency move when a flood of goods “threatens to cause serious injury” to domestic industry.
But the global trade body also allows import restrictions based on national security concerns.
“Consequently, there is no basis under WTO rules for China’s decision this week to raise tariffs against over $3 billion in US exports,” USTR said.
But in a letter to China’s WTO representative, US Ambassador Dennis Shea said officials “stand ready to fix a mutually convenient date with China to engage in bilateral discussions.”
The United States on Wednesday rejected as “baseless” China’s retaliatory tariffs and complaint in the World Trade Organization over the US tariffs recently imposed on steel and aluminum imports.
President Donald Trump imposed tariffs of 25 percent on steel and 15 percent on aluminum early last month, citing national security concerns.
But China invoked the WTO dispute process under a different rule, which does not apply, meaning Beijing’s threat of retaliatory tariffs on $3 billion in US exports is not justified, the US Trade Representative’s office said in a statement.
“China’s request for consultations… is completely baseless” because the US tariffs “address the national security threat posed by imports of steel and aluminum” and are not part of a safeguard action, USTR said.
A request for consultation is the first step in the WTO’s dispute settlement process.
WTO allows temporary tariffs on imports-known as safeguards-as an emergency move when a flood of goods “threatens to cause serious injury” to domestic industry.
But the global trade body also allows import restrictions based on national security concerns.
“Consequently, there is no basis under WTO rules for China’s decision this week to raise tariffs against over $3 billion in US exports,” USTR said.
But in a letter to China’s WTO representative, US Ambassador Dennis Shea said officials “stand ready to fix a mutually convenient date with China to engage in bilateral discussions.”
