U.S. Trade Representative Michael Froman said Monday that the United States was requesting China to enter into a consultation over Chinese duties on U.S. high-tech steel exports following a World Trade Organization (WTO) dispute.
In November 2012, the WTO concluded that China imposed duties on U.S. exports of grain oriented flat-rolled electrical steel ( GOES) in breach of both procedural and substantive WTO rules. China has re-determined its duties on GOES from the United States to comply with WTO ruling since July last year.
The United States reviewed the re-determination and considered it still failed to conform to the WTO rule, said Office of the United States Trade Representative.
The office noted that seeking a consultation marked the first time the United States has initiated a proceeding in the WTO to challenge a claim by China that it has complied in a WTO dispute. "The WTO found that China's duties are inconsistent with WTO rules. We were right, and China was wrong," said Froman, adding " unfortunately, it appears that China has not corrected those inconsistencies."
GOES is a high-tech, high-value magnetic specialty steel that is used primarily by the power generating industry in transformers, rectifiers, reactors, and large electric machines.