A group of five industry associations representing North American steelmakers indicated their strong support for a new World Trade Organization (WTO) dispute filed by the United States and European Union against Chinese raw material export restrictions Tuesday.
Specifically, the case requests WTO consultations with the Chinese government regarding export restrictions currently in place on a variety of raw materials and minerals for steelmaking.
The five steel industry organizations that expressed their support of the filing Tuesday include: the American Iron and Steel Institute (AISI), the Committee on Pipe and Tube Imports (CPTI), the Steel Manufacturers Association (SMA), the Specialty Steel Institute of North America (SSINA) and the United Steelworkers (USW). These groups' member companies and workers represent all of America's steelmaking capacity.
AISI stated in a press release on the WTO case filing, “The continued existence of these export restrictions benefits Chinese manufacturers at the expense of US and EU manufacturers, by prohibiting or significantly increasing the cost of exporting these raw materials." AISI also said that the five organizations commend the Obama administration and the Office of the US Trade Representative (USTR) for leading the effort to bring the case.
Under WTO procedures, the parties have up to 60 days to engage in consultations on how to resolve the dispute. At that point, the United States would be able to request formation of a dispute settlement panel to hear the dispute. The WTO process, including a panel report and any Appellate Body ruling, takes approximately one year.