Chinese duties on U.S. imports 'inconsistent' with WTO obligations

Reuters

Published Aug 16, 2023 10:53AM ET

Updated Aug 16, 2023 12:11PM ET

GENEVA (Reuters) -A World Trade Organization (WTO) dispute settlement panel on Wednesday found that China had acted inconsistently with its WTO obligations by imposing additional duties on certain U.S. imports in response to U.S. tariffs on steel and aluminium.

The office of the U.S. Trade Representative said it was pleased with the WTO decision, adding that China had "illegally retaliated with sham 'safeguard' tariffs."

China's Commerce Ministry said it had noted the WTO panel decision and demanded that the United States immediately lift tariffs imposed on steel and aluminium imports.

The U.S. imposed a 25% duty on steel imports and a 10% duty on aluminium imports in March 2018 based on the Donald Trump administration's "Section 232" national security investigation into steel and aluminium imports.

The panel recommended that China bring its "WTO-inconsistent measures into conformity".

Beijing could appeal the ruling, which would send it into a legal void because Washington has blocked appointments to the WTO Appellate Body, rendering it incapable of giving a judgment.

The WTO ruled last year that the U.S. move had also violated international trade rules, with Washington also appealing the decision.