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US challenges China’s poultry tariffs

China’s tariffs threaten jobs in an industry with 300,000 workers, says Ron Kirk, the US trade representative. China’s tariffs threaten jobs in an industry with 300,000 workers, says Ron Kirk, the US trade representative.
Associated Press / September 21, 2011

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WASHINGTON - The United States complained to the World Trade Organization yesterday that China violated international rules when it imposed tariffs on US chicken.

The levies range from 50 to 100 percent, a US trade official said.

The case is one of several US officials have filed against China. The United States has also filed complaints about Chinese tariffs on steel products and its subsidies for wind power gear.

China imposed the poultry tariffs in September 2010. It said US chicken producers benefited from subsidies and were exporting their goods to China at unfairly low prices. Countries can impose punitive tariffs to offset both practices, but US officials said China did not follow proper procedures.

China was one of the top two markets for US chicken exports before the tariffs. The other was Russia. Exports have dropped 90 percent, trade officials said. That could cost more than $1 billion over two years.