By Amanda Brodhagen, Farms.com
The United States is calling victory, after it won a case at the World Trade Organization (WTO) on behalf of American chicken producers. The U.S. brought forward a complaint in Sept. 2011 over China’s duties on U.S. exports of chicken broiler products. WTO sided with the U.S. on the complaint.
China claimed chicken producers were subsidised in the U.S., which prompted them to impose the duties Aug. 2010. Prior to China imposing duties, the U.S. was the largest exporter of broiler products to China. The case was made that U.S. exports fell dramatically.
"This decision sends a clear message that the Obama Administration can fight and win for American farmers, businesses, and workers in the global trading system, ensuring that America gets the benefit of the rules and market access we have negotiated in our international trade agreements," said Michael Froman, U.S. Trade Representative.
While the ruling backed the U.S. complaint, the WTO loosely asked China to comply by trade rules. China will likely be given a grace period to either comply with the ruling or appeal. Trade disputes often take years to resolve.