WTO: Report on Chinese tyre tariff appeal due soon

ERJ staff report (TB)

Geneva Switzerland -- A report on China's appeal of a World Trade Organisation (WTO) ruling upholding heavy US tariffs on Chinese tyre imports should be circulated to WTO members no later than Sept. 5, according to the WTO appellate body in charge of the appeal.

The WTO ruled in December 2010 that the Obama administration did not violate international trade and tariff rules when it levied steep tariffs on passenger and light truck tyre imports from China in September 2009.

The tariffs amounted to 39 percent for the year beginning September 2009, then were reduced to 34 percent beginning September 2010. In September 2011 the tariffs will be reduced further to 29 percent, and in September 2012 they will revert to their traditional level of 4 percent.

On May 24 of this year, China formally petitioned the WTO for an appeal of its ruling upholding the US position.

Under WTO rules, the appellate body within the WTO Dispute Settlement Body charged with reviewing an appeal must complete its report within 60 days of the appellant's petition.

On July 22, however, the appellate body notified the Dispute Settlement Body that it needed extra time to complete the report. It estimated a Sept. 5 date to circulate the report to WTO members.

From Tire Business (A Crain publication)