US, Mexico accuse China of unfair trade practices

 
Last Updated: Saturday 04 July 2015

the us and Mexico have accused China of giving illegal subsidies to Chinese companies to boost exports, while imposing tax and tariff penalties to limit purchases of foreign products in China. wto started a formal investigation recently based on the allegations. Concerned about the us's rising trade deficits and lost manufacturing jobs to "unfair trade practices by foreign nations", the us brought the two complaints to wto's notice earlier this year. Mexico also joined the dispute saying its companies had been hurt by Chinese rules. Beijing however claimed it had done nothing wrong.

Meanwhile, there's a debate raging in the eu over a bid to scrap anti-dumping duties on energy-saving light bulbs imported from China.Conflict has always existed between Europe's importers and retailers who depend on cheap goods from Asia, and local manufacturers who accuse China of breaking trade rules. According to reports, China sells the bulbs for less than what they cost to manufacture because of "state intervention and market distortions in China". eu trade commissioner Peter Mandelson wants to stop the duties. He is being supported by most European producers, led by Philips, which use China as a source of cheap, energy-efficient bulbs.

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