China has applied for a dispute settlement procedure with World Trade Organisation (WTO) because of US import duties on steel and aluminium. The Chinese Ministry of Commerce has stated that it doubts US government's statement that new import hurdles have been taken for reasons of national security. It accuses United States of protectionism in protecting domestic steel and aluminum industry. In this way, Americans violated "non-discrimination requirement in multilateral trading system" and violated WTO's reduction targets.

The dispute settlement procedure, from point of view of government in Beijing, was an appropriate way to defend its rights and interests, Chinese Ministry of Commerce said. The WTO rules, as an exception, provide that States may unilaterally modify and dispose of customs duties on certain imported goods for reasons of national security.

The US and China have threatened reciprocal customs duties on imports from or country over past few days. When y could enter into force is still open.

China and USA indicate willingness to talk

Both sides have recently also signalled a willingness to talk. Negotiations were preferred way for government in Beijing, said Chinese ambassador to US, Cui Tiankai, after a meeting with U.S. Secretary of State John Sullivan. "But re are always two of m."

U.S. President Donald Trump's new economic adviser, Larry Kudlow, suggested that it might not even come to announced US tariffs against China. "Yes, that's possible," he said. However, in reports from state-owned Chinese media It was also said that People's Republic would be a trade war with United States and not give in to pressure from outside. Meanwhile, talks between US government and EU Commission are continuing.

The US government has imposed tariffs on steel and aluminium from some countries, EU is exempted from this by 1 May. Commission President Jean-Claude Juncker had referred to deadline at an EU summit two weeks ago in view of many open issues with US government as "not very realistic". It is a matter for authority to be freed from taxes for a long time and not just for a short period. According to Commission spokesman, Juncker's statements continue to apply.

Date Of Update: 06 April 2018, 12:02