GENEVA, SWITZERLAND – The World Trade Organization (WTO) handed China a victory on Tuesday, ruling that trade sanctions imposed by U.S. President Donald Trump were not justified and therefore a violation of world trade rules. The outcome was somewhat expected by the Administration which claims that the WTO is broken and in dire need of drastic changes to catch up with commerce in the 21st century. The dispute arose after Trump slapped tariffs on Chinese products in March of 2018 based upon certain acts, policies, and practices of the Chinese government relating to technology transfer, intellectual property, and innovation. Just one month before the move, China launched the first salvo in the trade war by announcing a probe into U.S. sorghum and imposing a 178.6 percent anti-dumping deposit on imports from the States. What happens now is still unclear. If the U.S. appeals the ruling, it would normally go to the Appellate Body of the WTO but that group doesn’t currently exist because the U.S. has blocked all nominations for judges, thus leaving the body without the minimum representation needed to operate.
(SOURCE: All Ag News)