Investigation comes on the heals of key US/China meetings this week
The WTO is expected to begin an investigation into Pres. Trumps tariffs on $250B of Chinese goods on Monday. The investigation will center on whether the US tariffs run afoul of requirement that all WTO members give each other the same tariff treatment, as China asserts.
James Bacchus, a former Democratic congressman and onetime head of the WTO's appellate body said,
"This WTO case is especially significant because it deals with the central international legal issue in the U.S. conduct of its trade war with China -- whether the U.S. can impose trade restrictions on China in response to alleged Chinese WTO violations without first seeking dispute settlement in the WTO," James Bacchus, a former Democratic congressman and onetime head of the WTO's appellate body"
China makes the request to investigate. This is the 2nd request for an inquiry. The first was vetoes by the US. This one is expected to continue as the WTO rules prevent members from blocking a dispute inquiry two times.
Trump contends the tariffs are necessary to counter China's IP thefts.
Chiina and US officials will be meeting this week to further discuss a trade agreement. The Trump Administration has given China until March 1st to come to an agreement (or make progress toward one at the least). If an agreement is not reached, the US will raise tariffs on $200B of Chinese goods to 25% from 10% currently.
