China seeks $2.4B in penalties against US at WTO
Decision says US must use ``distorted Chinese prices'' to measure subsidies in case that predates Trump.
BERLIN — China is asking the World Trade Organization for the right to impose $2.4 billion in annual penalties on the US in a case over Chinese subsidies dating back years.
A document published Oct. 21 showed China has called for the matter to be considered by the WTO’s Dispute Settlement Body. The matter would be referred to a WTO arbitrator if the US objects to the amount China proposes.
The request stems from a July WTO appellate decision in a case dating to before the Trump administration, and unrelated to the tariffs it has slapped on Chinese goods.
Washington criticized that decision, which it said recognizes that China uses state-owned enterprises to subsidize and distort its economy but contends the US must use “distorted Chinese prices” to measure subsidies.