US Takes Chinese Export Subsidies Complaint to the WTO

WASHINGTON -- The United States announced Wednesday that it has filed a new complaint at the World Trade Organization over alleged Chinese export subsidies to seven industries.

China "seems to provide" WTO-prohibited support for exports through a special program that helps producers across the country to export, the U.S. Trade Representative said.

The aid is funneled through the Chinese government's Demonstration Bases-Common Service Platform program, which the USTR said provides free and discounted services to companies.

The support is distributed through 179 Demonstration Bases spread around the country, and also involves cash grants and other incentives that for certain companies amount to at least $635,000 worth of assistance annually.

"Export subsidies provide an unfair advantage to a vast array of Chinese exporters and are expressly prohibited under WTO rules," the USTR office said in a statement.

"This unfair Chinese program is harmful to American workers and American businesses of all sizes."

Washington said its complaint is directed at the Chinese program's support for seven industries: textiles, advanced materials and metals, light industry, specialty chemicals, medical products, hardware and building materials, and agriculture. 

The petition to the WTO for, at the first level, dispute settlement consultations, responds to complaints by various U.S. industries including shrimp fishermen, medical device makers, fruit and vegetable farmers, and textile manufacturers.

Copyright Agence France-Presse, 2015