Surprise Me!

Is the U.S.-China Trade Battle Politically Motivated?

2012-09-21 25 Dailymotion

<p>The United States filed a request for consultations with the World Trade Organization's Dispute Settlement Body on Monday concerning China's subsidies to its automobile and automobile-part exporters, while China filed a complaint against the United States about its breach of the WTO rules in its amendment to the Tariff Act of 1930 (GPX bill).</p><br /><p>Some analysts said the sudden charge brought by the United States was closely related to Barack Obama's undergoing re-election campaigns in powerhouses of auto industry such as Ohio, Michigan and the entire mid-western region, which are crucial to his re-election. To draw the swing voters of those regions, the U.S. administration took the opportunity to put China on WTO "trial".</p><br /><p>But other analysts held different opinions, saying the trade frictions between the two countries were byproducts of ever growing U.S.-China trade relations. The U.S. congress had been imposing pressure on China over the country's most-favored-nation-treatment on a yearly basis before China joined the WTO. And such pressure has never been reduced since China's accession to the WTO.</p><br /><p>So far China has not responded to the U.S.'s request for consultations.</p>

Buy Now on CodeCanyon