WTO Looks At China

     US trade representatives have asked the World Trade Organization to look more closely at the trade tactics being used by China to skirt the rules of international trade agreed upon by signotors of the agreement.  China was admitted to the WTO in 2001, and since then has found ways to thwart efforts by other members to trade with China.  Whereas Chinese goods and services have found their way across the globe, few countries have been able to crack the Chinese market.  At every opportunity, Chinese trade rules and representatives have prohibited entry by foreign companies, thereby restricting trade and allowing state-owned Chinese companies to dominate certain markets.
       One of the largest, most obvious problems is the international trade in steel and other metals.  Steel makers in China, with the help of state financing, have delivered product around the world at prices that do not reflect actual production costs.  This price support helps to eliminate competition in domestic markets where Chinese steel has been able to gain a foothold or more.  The aluminum market is another example.  Despite the WTO agreement, Chinese producers have been able to skirt controls by shipping product to offshore locations and then ship from those positions to large markets, eg. the USA.   Aluminum from Chinese smelters has been found in Vietnam and Mexico, sitting in yards waiting for shipping.   These tactics do not reflect well on the Chinese government nor its trade policies.  If the Chinese want to be a trading "partner" in good standing, they must put some value on the terms agreed to in the WTO.
    Good luck with that as Pres. Xi takes the reins of his market again for another 5 years.  The latest Communist Party Congress in Beijing served to consolidate his administrative power and control.
See you at the Winter Olympics in 2 1/2 months in another Asian market.