Obama Makes An Important Trade Move

The Obama administration has announced that it will bring its first trade case against China [1]

in the World Trade Organization (WTO).  The Office of the U.S. Trade Representative has launched a case against China for imposing restrictions on exports of raw materials used to make steel, aluminum and chemicals. By restricting exports, China gives its producers a price advantage over U.S manufacturers.

AAM Executive Director Scott Paul commented on the USTR for taking this important step: 

“We commend Ambassador Kirk and the Obama Administration for beginning to hold China accountable for market-distorting practices that both restrict raw material exports and give an unfair advantage to Chinese manufacturers while raising costs for American manufacturers.  This trade case could be the first step in a new and promising era of trade enforcement.  The aggressive pursuit of this WTO case now– along with a 421 decision by President Obama in September to grant relief for tire workers and manufacturers against Chinese tire imports– is essential to leveling the playing field for American workers and businesses.  Enforcing our nation’s trade laws is crucial to preserving good jobs, protecting the rule of law, and eliminating anti-competitive and market-distorting practices around the globe.”

Read: additional information on the recent Section 421 petition regarding a surge of tires from China [2].

Read: why it’s important to enforce U.S. trade laws [3].