China asks for WTO authorization to impose sanctions on US goods

Geneva: China has asked for the authorization from the World Trade Organization (WTO) to impose an annual trade sanction of $7 billion on US goods, as a result of the failure of the US to comply with a WTO’s ruling, documents published on Tuesday by the WTO revealed.

A document circulated to all WTO members said China requests authorization from WTO’s Dispute Settlement Body (DSB) to “suspend concessions or other obligations” with respect to the US “at a level equivalent to the nullification or impairment suffered”, due to the failure of the US to comply with the recommendations and rulings of the DSB.

The level of nullification or impairment totals approximately $7.043 billion annually, Xinhua reported.

China won a WTO ruling in 2016 in a dispute on certain methodologies applied by the US during its anti-dumping proceedings.

The ruling was later confirmed by an appeal last year. However, China considers that “no substantive effort and progress has been made” by the US to fulfill its implementation obligation.