NEW YORK The World Trade
Organization (WTO) set up a panel Monday to study a Chinese
complaint about American dumping and subsidy duties on Chinese
The committee agreed to
establish a panel during a meeting of a dispute settlement body
Monday after the United States rejected the first request last
amm.com, Nov. 30). The second request for a panel
is automatic, according to WTO rules.
China claims that the United
States has launched more than 30 countervailing duty
investigations against Chinese products since 2006, affecting
more than $7.3 billion in trade. It argues that the duties
arent consistent with obligations at the WTO because U.S.
countervailing duty laws shouldnt be applied to countries
deemed as nonmarket economies.
In letters submitted to the U.S.
Trade Representative (USTR) in October, various wire
producersAmerican Spring Wire Corp., Bedford Heights,
Ohio; Insteel Wire Products Co., Mount Airy, N.C.; Sumiden Wire
Products Corp., Stockton, Calif.; Nashville Wire Products Inc.,
Nashville, Tenn.; and SSW Holding Co. Inc., Elizabethtown,
Ky.argued that the USTR should "vigorously defend against
Chinas meritless claims," adding that Chinas claims
of double remedies are inconsistent with WTO measures.
The issue dates back to March
when President Barack Obama signed a bill giving authority to
the U.S. Commerce Department to apply subsidy duties to
nonmarket economies, a move lauded by steel interests (
amm.com, March 13).