Date
30 May 2017
China is breaking WTO commitments with regard to market access, says US Trade Representative Michael Froman. Photo: Reuters
China is breaking WTO commitments with regard to market access, says US Trade Representative Michael Froman. Photo: Reuters

US launches WTO complaint over Chinese duties on chicken

The United States filed a new trade complaint against China over the latter’s anti-dumping duties on American broiler chicken products, saying Beijing’s moves are in violation of World Trade Organization (WTO) rules.

The US Trade Representative’s office said Tuesday that it is making claims that the tariffs violate WTO rules, partly because China failed to properly calculate US poultry production costs, Reuters reported.

China also failed to conduct transparent investigations and breached WTO rules in its finding that US poultry exports have injured Chinese producers, the US agency was quoted as saying.

The complaint seeks consultations with Beijing on the matter.

“Today’s action holds China accountable for unfair taxes that they are imposing on American exports of broiler chicken products,” US Trade Representative Michael Froman said in a statement.

The complaint is the second US WTO objection to China’s 2010 imposition of anti-dumping duties of up to 105.4 percent, and anti-subsidy duties of up to 30.3 percent, on US broiler chicken products.

In 2014, China re-examined and lowered the duties on US chicken after the WTO accepted American arguments that the tariffs violated the trade body’s rules.

Beijing currently levies anti-dumping duties up to 73.3 percent and anti-subsidy taxes up to 4.2 percent on the chicken products.

But Froman said a USTR review of China’s revised duties found they were still not in compliance with WTO rules.

According to US Acting Deputy Agriculture Secretary Michael Scuse, American poultry producers have lost over US$1 billion in sales since China imposed the duties in 2010.

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FL/RC

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