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WTO Ruling Shows Trade Law Can Work for Workers

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Image: James ParksA World Trade Organization (WTO) panel’s ruling in favor of U.S. tariffs on passenger and light truck tires made in China shows “the rules of trade, when vigorously enforced, can be made to work for working people,” United Steelworkers (USW) President Leo Gerard said.

In September 2009, President Obama became the first president to enforce U.S. trade law when he imposed tariffs to protect domestic workers against a surge in tire imports from China. The original complaint came from the USW, and Obama’s decision led to a rebound in the tire industry.

China appealed the decision to the WTO and the ruling was announced yesterday. Gerard applauded the Obama administration for “standing up and defending American jobs in its original decision to impose relief and in its strong defense of that action at the WTO.”

Fair trade law enforcement should be the standard of our government in requiring China to fulfill its obligations under its accession agreement with the WTO more than a decade ago.

“This is a major victory for the United States and particularly for American workers and businesses,” U.S. Trade Rep. Ron Kirk said in a statement.

We have said all along that our imposition of duties on Chinese tires was fully consistent with our WTO obligations. It is significant that the WTO panel has agreed with us, on all grounds.

This is the latest in a series of wins for U.S. workers in their battle to level the trade playing field against China. The USW has filed a series of complaints against illegal and improper trade practices by China’s government.

In the past few months, the Obama administration has accepted a USW complaint against subsidies to clean energy manufacturers by China’s government and the U.S. International Trade Commission (USITC) in October ordered duties imposed on paper products illegally dumped in the United States by China’s government.

This article was originally posted on AFL-CIO Blog.

About the Author: James Parks had his first encounter with unions at Gannett’s newspaper in Cincinnati when his colleagues in the newsroom tried to organize a unit of The Newspaper Guild. He is a journalist by trade, and worked for newspapers in five different states before joining the AFL-CIO staff in 1990. His proudest career moment, though, was when he served, along with other union members and staff, as an official observer for South Africa’s first multiracial elections. Author photo by Joe Kekeris


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