WTO Defeat for China May Signal More Trade Complaints (Update1)

The car parts case may just be the beginning of China’s defeat in WTO. From Bloomberg:

China’s first defeat at the World Trade Organization may trigger more complaints against the nation, which already faces another four cases challenging its commercial practices, trade lawyers say…

China’s $19 billion vehicle market is the world’s third largest as annual economic expansion of 10.6 percent over the past five years has boosted incomes and spending on cars and homes. The case over car-part duties is the first in which governments have jointly filed a WTO complaint against China.

“This case gets China’s feet wet,” said Daniel Crosby, a trade attorney at Budin & Partners in Geneva who has represented clients on WTO compliance issues. “As China gets used to the system and as countries see that China is participating as a normal WTO member, then maybe other countries won’t be as hesitant to bring cases in fear of retaliation.”

See also report from Market Wire: WTO Rules Against China: Statement by China Business Strategy Consultants


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