China to comply with WTO poultry ruling

27-09-2013 | | |
China to comply with WTO poultry ruling
China to comply with WTO poultry ruling

The World Trade Organization (WTO) has favored the United States in a major trade dispute with China, proving that China’s imposition of duties on US broiler products violates international trade rules. With the report now formally adopted by the WTO Dispute Settlement Body, China must bring itself into compliance with its WTO obligations.

In 2009 – the year before China imposed the duties – the United States exported over 613,000 metric tons of broiler meat to China. Exports fell almost 90% after the imposition of the duties.

“This decision represents a significant victory for American farmers and chicken producers and proves that the United States will not stand by while our trade partners unfairly hurt US exports and US jobs,” said United States Trade Representative Michael Froman. “Given the wide-ranging violations found by the WTO, I hope that China’s acceptance of the WTO’s decision without appeal signals a recognition by China that it needs to take a serious look at its trade remedies regime and bring its rules, procedures and practices into line with its WTO obligations.”

“Our poultry producers and all of our businesses and workers expect and deserve a fair, rules-based trade system. This report is a win for them,” said Secretary of Commerce Penny Pritzker. “At the Commerce Department, we work hard to ensure that the US abides by our WTO obligations and that our investigations are transparent and procedurally fair to all parties. We will continue to work across the US government to ensure that China recognises that pursuing antidumping or countervailing-duty measures that are unjustified or based on political considerations is a losing strategy. More broadly, my Department will continue to support America’s entrepreneurs and businesses as they compete in the global economy and create good jobs here at home.”

“USDA’s long-standing partnership with the Office of the US Trade Representative has been instrumental in addressing barriers to US agricultural exports, and today’s good news marks another accomplishment on behalf of US producers,” said Agriculture Secretary Tom Vilsack. “China’s prohibitive duties caused a steep decline in exports of high quality US broiler products to China, and with today’s news from the WTO, we look forward to seeing China’s market for broiler products restored for US farmers and chicken producers.”