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China to launch case against Big Three automakers

Doug Palmer Reuters 10/28/2009 20:28
China to launch case against Big Three automakers - China - Business - Ford - Chrysler - General Motors


China has told the United States it is launching a trade investigation that could lead to new import duties on autos and sports utility vehicles made by Chrysler, Ford and General Motors, a U.S. industry official said on Wednesday.



The action comes as U.S. Commerce Secretary Gary Locke, Trade Representative Ron Kirk and Agriculture Secretary Tom Vilsack are in China for high-level talks aimed at resolving trade irritants between the two countries.

President Barack Obama, who will visit China in mid-November, angered Beijing last month by slapping a 35-percent duty on imports of Chinese-made tires which totaled about $1.8 billion last year.

China immediately challenged the action at the World Trade Organization and also said it would launch an anti-dumping and countervailing-duty investigation against U.S. autos to offset unfair pricing and government subsidies.

"The documents containing the charges were presented by China to the U.S. government this week, but have not yet been translated. Therefore we are not in a position to comment on the matter at this time," Steve Collins, president of the American Automotive Policy Council, told Reuters.


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