On 6 August, the reporter learned from a telephone conversation with a person in charge of a Chinese enterprise delegation that related consultations were being carried out through several channels. The progress was not yet disclosed. At this time, the U.S. trade representative was on the morning of August 7. The office held a special tire security hearing for only one day.
Chinese companies first went to the United States to defend their case. A Chinese company delegation that came to the United States to defend and complain about the tire special security case on the 6th was still nervously negotiating with the U.S. Trade Representative Office, the Ministry of Finance and other relevant departments to seek the case. Equity solution.
It is reported that Xu Wenying, Deputy Secretary-General of China Rubber Industry Association, will speak as a witness at the hearing.
The Chinese company delegation was composed of the Tire Branch of the China Rubber Industry Association, the Minmetals Chamber of Commerce and some Chinese tire companies and arrived in Washington on the 3rd.
Cai Weimin, secretary general of the China Rubber Industry Association’s tire division, said that this was the first time Chinese companies had organized a defense in the United States and invited the former Assistant Minister of Commerce of the United States Department of Commerce Sibu Na as the Chinese defense lawyer.
The delegation held a press conference in Washington on August 5. Xu Wenying said at the meeting that the United States’ special safeguard case against Chinese tire exports to the United States is completely unfair, and once it is implemented, it will result in a "double loss". She said that the tire protection case involved more than 20 Chinese companies and that once established, about 100,000 Chinese workers would be affected. At the same time, it will also affect the interests of many US distributors and raw material producers, and it is estimated that 25,000 people in the United States will also lose their jobs.
Xu Wenying said that the China Rubber Industry Association and a number of tire manufacturing companies will form a delegation to the United States to explain China's position and let the United States realize that the restrictions on the import of Chinese tires are unfair and worthless. She expects the United States to make a fair ruling on the case.
Reissue protectionist signals
U.S. Trade Representative Kirk proposed on June 29 that it imposes tariffs of 55%, 45%, and 35% on China's imported light passenger vehicle tires for three consecutive years. The case involved about 1.7 billion U.S. dollars.
Subsequently, the United States Tire Industry Association, the United States Tire Free Trade Association, the United States Automobile Trade Policy Council and the United States Retail Industry Leaders Association and other industry organizations have expressed their opinions on the US Tire Special Insurance Investigation case and believe that this move will harm US consumers. And the interests of tire traders.
The United States Tire Free Trade Alliance formed by six US tire importers wrote to the U.S. Trade Representative Kirk on July 27. When the U.S. side took measures, it will lead to nearly 25,000 job losses in the tire distribution and retail sector. "An employment position will cost an additional 25 jobs. This remedy will result in consumers spending an additional $600-700 million annually.
The U.S. "Wall Street Journal" published an article entitled "Obama's Trade Decision: The President Faces Tariff Decisions" on the 4th, saying that various signs have shown that restrictions on Chinese products will not only protect American tire manufacturers and workers from employment, but will Damage to more distributor interests related to the tire industry. Under such circumstances, if President Obama resists pressure to support trade union organizations, he will once again send protectionist signals to the outside world at a critical moment when the world economy is about to recover.
When a US business website discussed the case, the United States faced the need to choose between market and employment. People opposed to imposing punitive tariffs on imported Chinese tires believe that levying tariffs on Chinese tires will only continue to hit the tire market. China is the largest tire supplier in the United States. Chinese tires are only half the price of American tires and are therefore attractive to consumers. The tariffs that the United States will impose will eventually be passed on to consumers who buy tires, because they will not have more choices than they used to. They asked whether the practice of imposing tariffs can really save the domestic job market in the United States. Is this the protectionist approach that US related companies are unable to protect themselves from the crisis in the current economic situation?
When Thomas Russell, an economist at Rutgers University, assessed the possible impact of China’s tire imports on the U.S. economy, U.S. domestic industries have already concentrated on high-end products. They have no interest or ability to produce low-end products to fill in. Limit the market gap caused by Chinese products. In fact, protectionist behavior harms people and not only harms the interests of Chinese exporters, but also damages the interests of the United States. This is also an important reason why American tire manufacturers have not joined the complaint.
Special safeguards hinder the normal development of trade
The relevant person in charge of the Fair Trade Bureau of the Ministry of Commerce told the reporter on August 6th that special guarantees are more sensitive than anti-dumping measures. He hopes that the U.S. government will seriously study the calls from the U.S. domestic industry and make an objective and fair decision not to adopt restrictions. .
The relevant laws of the WTO and the United States stipulate that the adoption of special safeguard measures shall meet three conditions, namely the surge in imported products, the damage to domestic industries, and the causal relationship between the two.
Song Song, a researcher at the Institute of World Economics and Politics at the Chinese Academy of Social Sciences, told the reporter on the 6th that there is a difference between special protection and anti-dumping. Anti-dumping is for products sold below normal prices. The special insurance product is not lower than the normal price, but it has already caused an impact on the market and industry in another country. These are two mechanisms. One is when the exporter's product price is lower than the normal price, the importer uses anti-dumping, and the other is when the exporter's product price is reasonable, the importer adopts the special safeguard mechanism.
China’s Ministry of Commerce recently stated that taking special safeguard restrictions on Chinese tire products not only undermines the interests of the Chinese tire industry, hinders the normal development of bilateral trade between China and the United States, but also undermines the overall economic interests of the United States.
Song Yu said that the United States' original car tire market is exclusive, but the competition in the accessories market is fierce. The tires produced in American factories are mainly for new cars. However, tires are consumables. The tires that have been replaced by US car consumers are generally produced in Chinese factories. From this perspective, the remedy measures for the tire special protection case are unfavorable to American consumers. If these measures are passed, the cost of U.S. consumers replacing tires will increase.
link
The tire special security case was caused by a bill submitted by the American Iron and Steel Workers’ Federation to the US International Trade Commission on April 20 this year. The motion called for special safeguard measures for Chinese tires. On April 29, the U.S. International Trade Commission officially launched a special security investigation.
According to reports, the special security case is not procedurally handled by the U.S. Department of Commerce. Instead, U.S. trade unions initiate a lawsuit against the U.S. Trade Representative’s Office. The International Trade Commission, an ad hoc congressional agency, investigates and decides whether to cause damage or threat to the U.S. tire industry. Six members of the committee then vote to decide whether to support trade remedy measures. Finally, the U.S. trade representative submitted a proposal for remedial measures to the president. The president decided whether to adopt the proposal.
The United States International Trade Commission held its first hearing in early June. In mid-September, U.S. President Barack Obama will finally decide whether or not to impose special safeguard restrictions on Chinese tire products.
Stainless Steel Ball Valve,Flange Ball Valve,Ball Valve
Pingyi Lu Petroleum & Oil Fittings Co., Ltd. , http://www.bdgatevalve.com