China pities US move to seek WTO consultation

FOR IMMEDIATE RELEASE
(Free-Press-Release.com) February 4, 2007 -- China has expressed dissatisfaction over the US decision to haul it before the World Trade Organisation (WTO) over its "illegal" industrial subsidies that hurts American businesses worldwide.

It's a pity for the United States to seek consultation process at the WTO over China's industrial subsidies, a spokesman for the Chinese Ministry of Commerce said here while reacting to Washington's move.

He expressed surprise over America's decision as the two countries had kept bilateral contact over the issue all along. "China is deliberating the consultation proposal from the United States," he said in a statement.

The United States, on Friday, had formally asked for a consultation process at the WTO over China's industrial subsidies which made Chinese goods cheaper in global markets.

The Bush government has filed a complaint with the WTO, alleging that China is using government support to help its companies compete in world markets, thus creating an unfair playing field.

By filing the complaint, it asked for a consultation process with China in Geneva, which is the first stage of the dispute settlement procedure of the world trade body.

"The case is important because we are seeking to level the playing field to allow US manufacturers to compete fairly with Chinese firms," US Trade Representative Susan Schwab said.

Schwab further said that while the intellectual property rights question remained up for dialogue with China, the time for talk on industrial subsidies had been "exhausted".

Source: http://www.hindu.com/