BEIJING (Sept. 26, 2011)—China's Rubber Industry Association has expressed disappointment in the World Trade Oganization's ruling that U.S. tariffs against Chinese tires are legal, saying the WTO is not upholding the principle of fair competition in international trade.
As a response, the CRIA expects to improve the technological level of tires and to see consolidation among domestic manufacturers.
Following the imposition of tariffs in 2010, China's exports of tires to the U.S. fell by 23.6 percent from 2009 to 2010. Meanwhile U.S. imports of tires from other countries jumped by 20.2 percent.
The CRIA said the imports of Chinese tires to the U.S. were mostly low-value, low grade products not made in the U.S.
The CRIA said it will upgrade the products to lower-profile series and to improve the technological level of tires made in China. In addition, the Chinese government expects consolidation of the domestic tire industry, the group said.