China urges US to halt tire trade probe

China’s commerce ministry urged the US on Wednesday to halt its anti-subsidy investigations into Chinese tires and other products because the country does not recognize China as a market economy, Reuters reported. The statement came one day after the US Court of Appeals ruled that the Commerce Department could not lawfully impose countervailing duties on products from non-market economies. “We hope the United States can correct its mistakes as soon as possible,” China’s Ministry of Commerce said. Beijing has stepped up its requests this year to be recognized as a market economy; without this status, its exporters are unfairly penalized when trading partners pursue anti-subsidy or anti-dumping cases against them, Beijing says. WTO rules permit countries that are building trade cases against non-market economies to demonstrate supporting evidence of subsidies or dumping by substituting prices with those of another nation, conceivably one where manufacturing costs are higher.