U.S. Trade Representative Michael Froman announced Tuesday that the United States is mounting a challenge to China at the World Trade Organization (WTO) because of the Chinese Government’s failure to bring its antidumping and countervailing duties against imports of U.S. chicken broiler products into compliance with WTO rules.
“Today’s action holds China accountable for unfair taxes they are imposing on American exports of broiler chicken products. These unfair and unjustified taxes are in direct violation of China’s international commitment and tilt the playing field further against America’s poultry farmers. American farmers deserve a fair shot to compete and win in the global economy and this administration will continue to hold China responsible when they attempt to disadvantage our farmers, businesses and workers,” Froman said in a USTR press release.
“The U.S. chicken industry applauds today’s announcement by U.S. Trade Representative Michael Froman that USTR will request that the World Trade Organization take action against China for its failure to eliminate its anti-dumping and countervailing duties on U.S. chicken exports,” said the National Chicken Council and the USA Poultry & Egg Export Council in a joint statement.
“We are also grateful for the support of U.S. Senators Chris Coons (D-DE), Johnny Isakson (R-GA), Tom Carper (D-DE), and John Boozman (R-AR), as members of the Senate’s “Chicken Caucus,” for their steadfast support of U.S. chicken producers in this case.”
As one of the main export destinations for products like chicken paws and wingtips, China is an important market to the United States. The sale of these products added considerable value to the U.S. broiler industry, and the duties imposed by China have unfairly hindered access to this important market.
In 2013, a WTO dispute settlement panel comprehensively found that China’s anti-dumping and countervailing duties violated its WTO obligations. Despite that decision, China has still refused to remove these duties. The U.S. government has reasonably tried to work with China since then to resolve this matter consistent with the panel’s decision, but China’s continued failure to abide by the ruling and to meet its obligations is unacceptable.
“We are heartened to see that USTR will not back down when it comes to enforcing our rights, and in making sure we truly get the market access we bargained for,” the poultry groups concluded. This trade enforcement action marks the 12th complaint brought by the Obama Administration against China at the WTO, and “to date we have won every case that has been decided,” Froman said.
