May 11, 2016

China challenged at WTO over 'unfair' taxes on US chicken imports

US Trade Representative Michael Froman said Tuesday, May 10, that the United States will ask the World Trade Organisation (WTO) to take action against China for its failure to eliminate its anti-dumping and countervailing duties on US chicken exports.

The US said these duties, which it called unfair, have remained despite a WTO report in 2013 that found China to be breaching its WTO obligations. 

The complaint is the 12th brought by the Obama administration against China at the WTO.

"Today's action holds China accountable for unfair taxes they are imposing on American exports of broiler chicken products," Froman said. "These unfair and unjustified taxes are in direct violation of China' s international commitments and tilt the playing field further against America's poultry farmers".

Froman expressed confidence that the US will win this latest case as he claimed that it had won all the other 11 past actions it had taken against China at the WTO.

Vilsack support

US Agriculture Secretary Tom Vilsack backed the Trade Representative's move, at the same time warning "China and all of our trading partners that the United States means what we say when we call for fair and enforceable trading policies".

The US National Chicken Council (NCC) said China is one of the main export destinations for products like chicken paws and wingtips, but that the duties imposed by China have "unfairly hindered access to this important market".

"We are heartened to see that USTR (US Trade Representative) will not back down when it comes to enforcing our rights, and in making sure we truly get the market access we bargained for," the poultry group said. --Rick Alberto