China seeks US$2.4 billion in penalties against U.S. at WTO
People carry umbrellas as they pass the New York Stock Exchange in New York, on May 13, 2019. (Mark Lennihan / AP)
The Associated Press
Published Monday, October 21, 2019 12:22PM EDT
BERLIN -- China is asking the World Trade Organization for the right to impose US$2.4 billion in annual penalties on the United States in a case over Chinese subsidies dating back years.
A document published Monday showed China has called for the matter to be considered by the WTO's Dispute Settlement Body next Monday. The matter would be referred to a WTO arbitrator if the U.S. objects to the amount China proposes.
The request stems from a July WTO appellate decision in a case dating to before the Trump administration, and unrelated to the tariffs it has slapped on Chinese goods.
Washington criticized that decision, which it said recognizes that China uses state-owned enterprises to subsidize and distort its economy but contends the U.S. must use "distorted Chinese prices" to measure subsidies.