China Must be Held Accountable for Unfair Trade Practices

Feb 2, 2007
Press Release

WASHINGTON, D.C. – Today, United States Trade Representative (USTR) Susan Schwab announced her intent to bring a case before the World Trade Organization (WTO) to deal with China’s unfair subsidies. Ways and Means Trade Subcommittee Chairman Sander M. Levin issued the following statement in response:

I am glad the Administration recognizes that Chinese subsidies are a widespread problem that has caused major harm to American workers, farmers and businesses,” said Trade Subcommittee Chairman Sander M. Levin.

“Congressional Democrats have long encouraged the Administration to file more cases in the WTO (The Clinton Administration filed an average of eleven WTO cases each year, while the Bush Administration filed only 14 cases in total during its first five years in office). By actively using WTO enforcement procedures, the U.S. can hold China, as well as other trading partners, accountable to their WTO commitments. This case represents a step in the right direction, but it must be part of a much more aggressive program to take actions against violations of WTO obligations.”

In recent years, Congressional Democrats have urged the Administration to file more cases within the WTO to hold China accountable for its abuses. Last Congress, Democrats introduced legislation that would:

  • Direct the U.S. Department of Commerce to apply countervailing duty laws to non-market economy countries, including China.
  • Direct the U.S. International Trade Commission to complete, on an urgent basis, a comprehensive analysis of all Chinese subsidy programs affecting U.S. manufacturers and farmers.
  • Call for the Administration to file a major case on China’s blatant violation of intellectual property rights.