China Challenges US Tariffs on Exports at WTO

Beijing raises concerns over Trump’s tariff actions, seeking resolution through global trade body.

China has lodged a formal complaint with the World Trade Organization (WTO) regarding the tariffs imposed by former US President Donald Trump on Chinese goods, the global trade body confirmed on February 5. The complaint comes after Trump announced a 10% tariff on Chinese exports in a bid to address concerns over the flow of fentanyl and, in the case of Canada and Mexico, illegal immigration.

While Trump initially imposed tariffs on goods from Mexico, Canada, and China, he later decided to freeze the levies on the North American nations. In contrast, the tariffs on Chinese exports remained in place, which prompted China to challenge the move at the WTO.

In a statement, China’s government argued that the tariffs appear to contravene the US’s obligations under the agreements that govern the WTO. The statement added that China reserved the right to introduce further claims during consultations or future proceedings related to this matter.

Since December 2019, the WTO’s dispute resolution system has been largely paralysed due to the collapse of its appellate body, which is responsible for issuing final rulings on trade disputes. Both the Trump and Biden administrations had blocked the appointment of new judges, citing concerns about judicial overreach. The lack of sufficient judges has left the system unable to operate effectively.

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