China Opposes ITC's Proposal on Tire Tariff     

The U.S. International Trade Commission (ITC) has proposed a tariff on Chinese-made tires imported into the United States on June 30th. This proposed tariff will be as high as 55%.
    This case caused high concerns from China's tire manufacturers. "The US Steelworkers who petitioned ITC to declare that the U.S. tire industry has been harmed by an increase in tire imports from China has not evidences," commented Fan Rende, director of China Rubber Industry Association on August 5th. "It is discrimination."
    Cai Weimin, sectary of the Tire Branch of China Rubber Industry Association, said publicly that if the tariff takes effective, the US consumers will be harmed at first. He thought the tires manufactured in China were sold at rational prices, whatever in domestic market or US market. China has been exporting low cost tires to the US, while American companies do not manufacture low-cost tires, preferring to focus on higher profit tires.
   The Ministry of Commerce of China also has announced its opposition to the proposal.
    In 2008 China exported 46 million pieces of tire to the US, increasing 2.8% over 2007.  China-made tires were sold at US$50 to US$60 per piece in US market, around half of higher profit tires.