US Import Duties on Chinese Goods Illegal

The import tariffs that the United States imposed on Chinese goods two years ago went against international trade rules. That has been decided by the World Trade Organization (WTO).

 

The decision can still be contested by the US. Because the US has made the WTO virtually toothless with several measures, such an appeal effectively means that there will be no punishment.

A US appeal must be filed within 60 days.

The US imposed import tariffs on approximately $ 550 billion worth of goods that China exported to the US in 2018. The move was part of the trade war that US President Trump unleashed with China.

Trump felt that the trade balance between his country and China turned out too much in the Asian country’s favour.

For import duties, the US used a 1970s trade law. It had fallen into disuse when, in the 1990s, the Americans decided to use the WTO processes to resolve disputes before import duties were used.