China Economic Review
Charting China’s changing economic terrain · Since 1990

WTO rejects China auto parts appeal

December 15, 2008

The World Trade Organization rejected an appeal by China in an auto parts dispute with the United States, the European Union and Canada, AP reported. Beijing had appealed a July ruling against taxes it had imposed on imports of auto parts. China said the taxes were needed to prevent imports of partially assembled whole cars, which allowed companies to avoid high tariffs for finished automobiles. The WTO appeals panel recommended that China be asked to bring tariffs into line with international trade rules. A separate WTO panel will later determine whether China has brought tariffs into compliance with the rules, and could impose sanctions if it is found to still be in violation.

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