quarta-feira, 18 de maio de 2016

U.S. DECISION TO IMPLEMENT A 522% TAX ON CHINESE STEEL MARKS AN ESCALATION IN TENSIONS BETWEEN THE 2 NATIONS

The US has slapped a 522% tax on Chinese steel after accusing the nation of distorting the market by flooding it with cheap product.


The move by the US Commerce Department marks an escalation in already heightened tensions between the two nations. China has said it will continue with controversial tax rebates to counter the tariffs and support its steel industry, which is the world’s largest.
Cheap Chinese steel has been a point of contention for both the US and the European Union, who argue that dumping by China – or massively undercutting competitors to shift its excess supply – is  distorting the market and damaging their native steel industries.
The US’s new tax will increase by fivefold the tariffs on Chinese-made cold-rolled flat steel, which is used in a range of industries including car manufacture and construction.
The American steel industry claims it has had to lay off 12,000 workers as a result of unfair competition from China.

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