China files WTO challenge to US $200B tariff plan

In this July 13, 2018, photo, a child selects shoes as Chinese made children shoes carrying a Chinese map and U.S. flags are on display for sale at a shop in Beijing. China announced it filled a World Trade Organization challenge Monday to U.S. President Donald Trump's proposal for a tariff hike on $200 billion of Chinese goods, reacting swiftly amid deepening concern about the economic impact of their spiraling technology dispute. (AP Photo/Andy Wong)
In this July 13, 2018, photo, Chinese made children shoes carrying a Chinese map and U.S. flags are on display for a sale at a shop in Beijing. China announced it filled a World Trade Organization challenge Monday, July 16, 2018, to U.S. President Donald Trump's proposal for a tariff hike on $200 billion of Chinese goods, reacting swiftly amid deepening concern about the economic impact of their spiraling technology dispute. (AP Photo/Andy Wong)

BEIJING — China announced it filed a World Trade Organization challenge Monday to President Donald Trump's latest tariff threat, stepping up its diplomatic efforts to counter U.S. pressure in a spiraling technology dispute.

The Trump administration has criticized the WTO as unable to deal with the problems posed by China, suggesting a challenge there might have little impact in Washington. But it might help Beijing rally support from governments that criticized Trump for going outside the WTO to impose tariffs on Chinese and other imports.

The move is unusually swift, coming less than one week after the U.S. Trade Representative proposed 10 percent tariffs on a $200 billion list of Chinese goods. Those wouldn't take effect until at least September.

China's lopsided trade balance means it will run out of U.S. imports for penalty tariffs before Washington does. Beijing is trying to recruit support, so far in vain, from Europe, South Korea and other governments.

"We are unable to fight equally," said Tu Xingquan, director of the China Institute for WTO Studies at the University of International Business and Economics in Beijing.

Monday's move "indicates that we value the role of the WTO rules," said Tu.

Washington imposed 25 percent tariffs on $34 billion of Chinese goods in response to complaints Beijing steals or pressures companies to hand over technology. Beijing responded immediately by imposing identical penalties on a similar amount of American imports.

It has criticized the latest tariff threat but has only about $80 billion of annual imports left for penalties.

As for why Beijing hasn't retaliated, "there might be some adjustment in China's approach to countermeasures," said Tu.

Economists and business groups have suggested Beijing might try to disrupt operations of American companies, especially service industries, in which the United States runs a surplus. But Chinese officials have tried to appeal to American companies as allies.

A Commerce Ministry spokesman said last week Beijing hoped they would lobby Washington to protect their own interests.

Similar News

Indonesia urged to take stern action on illegal bird trade

Aug 11, 2016

A wildlife trade monitoring group has called on Indonesia to take strong action against traders of endangered birds who are driving several species toward extinction

Ali tribute book to be released by Jeter imprint

Aug 11, 2016

A very great athlete will help pay tribute to "The Greatest": Derek Jeter's publishing imprint is set to release "Muhammad Ali Unfiltered." Publication is scheduled for October

5 tips to bounce back after a foreclosure or short sale

Aug 11, 2016

Losing a home to a foreclosure or short sale is devastating, but it doesn't have to define you.Losing a home to a foreclosure or short sale is devastating, but it doesn't have to define you

Broaden