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The following article was published in our article directory on September 1, 2010.
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U.S. Stepping Up Antidumping Trade Rules

Article Category: Business Management

Author Name: Amanda xzh

In order to give Obama more than double the Government's export target "escort", the U.S. Department of Commerce is considering a number of more stringent anti-dumping trade rules, particularly for his country so-called "unfair trade practices", which is considered a threat to the United States people of their jobs.

Sources said the dozen new proposals will be presented Thursday, including "at least a possible cause of Chinese exports to the U.S. imposed higher tariffs on goods." Trade experts believe that the countdown to the occasion in the mid-term elections, the United States suspected of similar practices have a show to the final adoption and implementation are very difficult. However, similar trends are also reflected in the new situation after the financial crisis, the rising tide of trade protectionism is likely to make China's foreign trade environment has become more difficult.

26, citing U.S. Department of Commerce official as saying the Ministry of Commerce is planning to implement more stringent rules to oppose foreign "unfair trade practices." The United States believes that these practices a threat to American jobs. It is reported, the Commerce Department will release a new proposal Thursday.

A U.S. Commerce Department official revealed to the media, the program seeks to strengthen in many areas the effectiveness of U.S. trade protection measures. "The plan will implement in the fall." The official said.

Obama made in order to achieve in the next 5 years will double the target of U.S. exports, U.S. Commerce Secretary Gary Locke has ordered, requested a review of the Ministry of Commerce anti-dumping and countervailing duties on the rules and procedures.

Industry revealed that prompted authorities to increase trade protection is a big incentive is the recent release of the latest U.S. trade data, in particular, is one of the unexpected increase in imports. U.S. Department of Commerce data released earlier this month, in June the U.S. trade deficit reached 49.9 billion U.S. dollars, increased 18.8% last month, but also from October 2008 a new high since. In May after a revised deficit of 41.98 billion U.S. dollars. This is the third consecutive month, the U.S. trade deficit appears to expand the chain trend.

U.S. authorities even more nervous is that June imports up 3% to 200.35 billion U.S. dollars, while exports fell 1.3% to 150.45 billion U.S. dollars, the highest since April 2009 the biggest decline since. The relative strength of imports shows that the U.S. government initiated the "external demand pull" a long way off target.

The U.S. Department of Commerce officials said the new proposal has a number of possible greater impact. For example require the importers after the initial tariff that some cash advance, but now the rules of the importers pay the required tariffs relatively loose, and sometimes can wait 5-6 months, until the tariff finalized.

China may be affected

There is also a new proposal is for the old rules changes. Under the existing rules, if a foreign company in the third annual administrative review can prove that their products did not dumping in the United States, you can the company directory from the United States removed the anti-dumping. Under the new proposal, this approach will be halted. Examined three times, if any, clearance, these companies still in the anti-dumping "black list", the only of its commitment to the tariff rate is zero, once the Ministry of Commerce, the discovery of new evidence of unfair trade, anti-dumping tariffs of these companies will be raised .

Experts also noted that the U.S. Department of Commerce's new proposals to strengthen anti-dumping measures, involving exports to the U.S. is only less than 3% of the total, therefore, influence the scope and extent should be minimal.

According to the U.S. Department of Commerce officials, in the current discussion of the 14 proposals, at least one collection may lead to higher tariffs on China. In recent years, China has often become the object of unfair trade complaints, and in the financial crisis, such signs become more apparent.

The U.S. Department of Commerce's proposal, there is a direct target of China's exports. Under the proposal, the U.S. Commerce Department in calculating the export from China when the anti-dumping or countervailing duties, export tax rebate can be deducted first.

The U.S. Department of Commerce official said China's "no doubt" will be disturbed by the proposal because it would make the final tariff level higher.

However, the new proposal does not constitute China's exchange rate policy is "unfair subsidies" to investigate decision. Some U.S. lawmakers claim that the RMB exchange rate was "undervalued", and make Chinese exports in the global market has an unfair price advantage.

Trade "war of nerves" with the United States no good

According to industry sources, Obama once again the issue of trade protection in afterburner, and speculation in trade with China and other topics, largely out of mid-term election considerations. Support for the Democratic Party and Barack Obama continued to decline recently, Obama has publicly stated that the Democratic Party may lose in the mid-term elections a majority of seats.

For the U.S. plans to strengthen the efforts of anti-dumping practices, the Chinese Ministry of Commerce researcher Mei Xinyu Thursday told Shanghai Securities News reporters said that this "internal war is the show, outside is a battle of nerves." In other words, is "taking things one might not be able to scare other people, expect others to give."

Mei Xinyu said that the United States called on China imposed a higher tariff, the scope is unclear. "Is the product of a one or a few anti-dumping duties imposed countervailing duties, or on all Chinese imports with tariffs?" Also, if China is to levy tariffs on all products, it means to launch an all-out trade war, after Obama who is clearly not the original intention of the government.

In view of this, Mei Xinyu that the Chinese side for the new U.S. anti-dumping measures should continue to take the initiative of the strategy, close observation to understand each other's next move, but there is no need too Yijingyizha.

Facts have proved that many of the U.S. China trade protection measures exactly opposite. For example, the USA and the United States-China Business Council 25, said the U.S. safeguard measures implemented tire past year, there is no decrease in total imports of the U.S. tire, the tire manufacturing industry does not help to increase employment, but instead, American consumers burden.

US-China Business Council President Frisbie 25, sent a letter to U.S. President Barack Obama said, to special safeguard measures impact, the U.S. imports from China are cheap tires really declined, but imports of similar products in other countries substantially increased, and make imports more than before the implementation of the level of safeguard measures. Meanwhile, the tire manufacturing industry jobs and not by the implementation of safeguard measures to stop down. Moreover, the implementation of safeguard measures, the U.S. domestic market tires rose significantly increased the burden on American consumers.

Of course, from another point of view, the expert pointed out that a similar incident also shows that, as a trading nation, China has the financial crisis facing the international trading environment more complex and difficult, the friction will be encountered more. China's National Development and Reform Commission Zhang Ping, 26, says that the first half of this year subject to trade remedy investigations in China reached 38, has become the biggest victim of trade protectionism.

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