China to appeal WTO ruling in US tyre import duties

ERJ staff report (TB)

Geneva, Switzerland -- The Chinese government plans to appeal a World Trade Organisation (WTO) ruling from last December that supported the US government's decision in 2009 to impose severe duties on imports of consumer tyres from China.

China notified the WTO's Dispute Settlement Body May 24 of its decision to appeal the panel report in dispute case DS399, “US-Measures Affecting Imports of Certain Passenger Vehicle and Light Truck Tyres from China.”

Details of China's appeal are expected to be released in the coming days, the WTO said.

The WTO's ruling from Dec. 13 confirmed that the Obama administration did not violate international trade and tariff rules when it levied three years of steep tariffs against passenger and light truck tyres imported from China.

At the time, the Office of the US Trade Representative (USTR) hailed the WTO report, as did the United Steelworkers (USW) union, which petitioned the International Trade Commission (ITC) in April 2009 for relief from Chinese consumer tyre imports.

The Obama administration instituted tariffs over a three-year period, starting at 39 percent in September 2009 for one year, dropping to 34 percent in September 2010 and to 29 percent in September 2011 before reverting to the original 4 percent in September 2012.

Tyre retailers and distributors expressed disappointment in the WTO's December report, and the Tire Industry Association (TIA) reiterated its call for the USTR to create a comprehensive system to quantify the effects of the tariffs on tyre dealers and buyers.

From Tire Business (A Crain publication)

Press release from WTO