US and China Keen to Avoid Trade War Over Tyres Dispute
By Alex Kapadia
The US and China are both keen to avoid trade war on the back of the tyres tariff dispute.
US Deputy Secretary of State James Steinberg has said that the two countries do not want the tyres disagreement to erupt into a full-scale trade war.
Reuters reported that in a speech to the Centre for a New American Security, Steinberg, who will visit China next week as part of an Asian tour, said the US decision to impose a tariff on tyre imports from China had been taken under terms of a World Trade Organisation framework accepted by both countries.
Steinberg said both countries wanted to make sure “that this particular disagreement does not spark a trade war.”
The report added that US President Barack Obama sought to ease friction in a meeting with China’s President Hu Jintao on the sidelines of the UN General Assembly in New York this week.
The Obama administration has said it will impose duties of 35% in the first year on Chinese passenger and light truck tyres, provoking an angry response from the Chinese government earlier this month.
Number: Z8037079
Reg: NKF419
