The US Commerce Department yesterday proposed preliminary duties
on imports of Chinese steel tubes and laminated woven sacks,
despite strong opposition from China.
The US proposed the tariffs after determining that China
provides unfair subsidies to the manufacturers of the goods.
This brings to four the number of countervailing duties imposed
on Chinese imports since the Bush administration began imposing
anti-subsidy duties on China.
Vice-Commerce Minister Gao Hucheng said earlier that the US was
violating WTO rules by conducting anti-dumping and countervailing
investigations against Chinese products. For the past two decades,
the US has classified China as a non-market economy, which means it
is not subject to anti-subsidy measures.
The measures might also lead to double taxation, according to
Gao, because if the US deems that exporters are being subsidized,
they could face anti-dumping as well as countervailing duties.
China complained to the WTO in September about the combined
countervailing and anti-dumping rulings from the US on Chinese
coated paper, according to an earlier statement from the commerce
ministry.
Rectangular pipe will face duties of up to 77.85 percent under
the latest US proposal, while laminated woven sacks will face
duties ranging from 2.57 percent to 57.14 percent, according to the
Commerce Department.
In August, the US International Trade Commission made a
preliminary ruling that imports of laminated woven sacks from China
were negatively impacting the industry in the US, as trade of the
two items has surged in recent years.
From 2004 to 2006, imports of laminated woven sacks from China
increased 80 percent and were valued at $40 million in 2006. From
2004 to 2006, imports of rectangular pipe from China increased 840
percent to $44 million.
But yesterday's decision doesn't mean a tax will be imposed
immediately. The Commerce Department will examine the claims and
make a final decision next year. The US International Trade
Commission will then decide whether American producers are being
hurt by imports.
(China Daily November 29, 2007)
