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China hauls US to WTO over poultry

by Staff Writers
 Geneva (AFP) April 17, 2009
 China on Friday lodged filed a complaint against the United States at the World Trade Organization over "discriminatory" US legislation against Chinese poultry imports.

"China considers that the US ... through Section 727, is in breach of its obligations," according to a request for formal consultations filed by the Chinese at the WTO.

Beijing had launched the action in the WTO in response to a US spending bill that it says contains a clause opposing imports of Chinese poultry.

"China is concerned that Section 727, in conjunction with the overall US regime for regulating imports of poultry products, places restrictions on the import from China of poultry products that are inconsistent with the United States' WTO obligations," said the filing obtained by AFP.

In a statement posted Friday on the Chinese commerce ministry website, Beijing said the United States and China had held discussions on the matter "but these bilateral talks failed to resolve Chinese concerns."

The US bill "results in restrictions in Chinese poultry exports to the US, disrupts the normal development of Sino-American poultry trade and hurts the rights and benefits for China's poultry industry."

"It is the right of China as a WTO member state to therefore request consultations at the WTO," added the statement.

Under WTO rules, both parties now have 60 days to resolve the dispute. If no solution is found, the WTO dispute settlement body can set up a panel of judges to rule on the case.

China and the United States halted imports of each side's poultry in 2004 over fears about the spread of bird flu.

Imports of some US poultry products to China have since resumed but Chinese officials have complained that the United States continues to hold up reciprocal imports of Chinese poultry.

Commerce ministry figures show that China imported 580,000 tonnes of US chicken products last year, accounting for 73.4 percent of total chicken imports, Xinhua news agency said this week.

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