The US government plans to take action against auto parts imports from China, the world’s second largest economy.
“We are looking at a variety of issues in the bilateral relationship, including, I would say, in the auto sector, said Tim Reif, general counsel in the US Trade Representative’s office.
At the beginning of this year, as the US presidential elections were approaching, the United Steelworkers union and related groups started pressing President Barack Obama to stop was they considered a flood of auto parts imports from China. Exactly 188 members of Congress voted to either fill a WTO case against the Chinese government subsidies or to launch a Commerce Department investigation to countervail duties on a variety of Chinese auto parts.
China was accused of using unfair policies to give its auto parts producers a trade advantage. Tim Reif also said that the government will carefully examine the facts before taking any decision and it will not be based on the desire to win votes for Obama.
“As you know these cases involve easily months, oftentimes years of preparation. So when you see us file a request for consultations (at the WTO), that is not some-thing we ginned up in the last week or two, or month or two,” Reif said.