US, China Comment on WTO Ruling Allowing China to Counter US CVD Measures
The U.S. criticized a Jan. 27 decision from a World Trade Organization arbitrator that China can impose countermeasures on U.S. goods up to $645.12 million annually due to U.S. violations of WTO obligations in 10 countervailing duty proceedings (see 2201260017), in a statement later that day. "The deeply disappointing decision today by the WTO arbitrator reflects erroneous Appellate Body interpretations that damage the ability of WTO Members to defend our workers and businesses from China’s trade-distorting subsidies," the Office of the U.S. Trade Representative said in a statement. "Today’s decision reinforces the need to reform WTO rules and dispute settlement, which have been used to shield China’s non-market economic practices and underrmine fair, market-oriented competition. The Biden Administration will continue to use all our tools to stand up for the interests of America’s workers, businesses, farmers and producers, and strengthen our middle class."
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China, meanwhile, had a different takeaway. "The successful outcome of this case is of great significance for correcting the illegal countervailing practices of the United States, safeguarding the legitimate trade interests of Chinese enterprises, and defending the multilateral trading system," China's Ministry of Commerce said, according to an unofficial translation. "This case is the second time China has won trade retaliation against the US in the WTO. Previously, China won an annual trade retaliation amount of US$3.579 billion against the US in the WTO dispute case against the US anti-dumping measures. China urges the US to stop looking for any excuses and take immediate action to correct its wrongdoing in the trade remedy investigation against China."