Geneva--The World Trade Organization ruled Tuesday against the restrictions on the export of China on raw materials, in a case that could have an impact on Beijing's moves to tighten its grip on rare earth.
Washington and Brussels, welcomed the decision, with the European Union urges China to stop its restrictions on rare, main minerals used in high-tech products.
In the United States, the European Union and the Mexico China to the WTO in 2009, require that export quotas and the obligations imposed by Beijing on certain raw materials were illegal and against China's commitments when it joined the world trade body.
These minerals include bauxite, coal coke, fluorspar, magnesium, manganese, Silicon metal, carbide silicon, yellow phosphorus, and zinc.
All are essential inputs to many products in steel, aluminum and chemical sectors and as China is a major producer of these raw materials, all restrictions could lead to sharp ears of world prices, they argued.
Submitted by the complainants, WTO arbitrators finding that China had failed its commitments of accession when it imposed quotas and the rights to these minerals.
They rejected the arguments of Beijing to conservation concerns that China has not established that it imposed the restrictions to the export in tandem with limits for the consumption of raw materials.
In other words, China has not demonstrated that its restrictions were not just targeted at foreign use but also to use domestic.
Decision on Tuesday had just moves from China to tighten its grip on rare earth in an international outcry.
China has cited environmental concerns and domestic demand for its exports of slashing and imposing higher taxes, leading to high prices.
For the European Union, the WTO was "a clear verdict on the opening of trade and fair access to raw materials."
"It sends a strong signal to refrain from imposing restrictions on unfair trade and we took a little more rules of fair game for raw materials, said Karel De Gucht, European Commissioner for trade."
"I think China will now bring its regime of export in accordance with international rules.".
"In addition, in light of this result, China should ensure free and fair access to supplies of rare earth," he said.
In Washington, the United States, trade representative Ron Kirk said that the decision was "an important confirmation of the basic principles of the global trading system."
"All members of the WTO, developed or developing, need nondiscriminatory access to the supply of materials first to grow and prosper," he said.
Meanwhile, China regrets the decision and said that its measures are "to the objective of sustainable development promoted by the WTO and to help encourage industry resources to healthy development."
"China adopt scientific management on the products of resources in accordance with the rules of the WTO to maintain fair competition and promote sustainable development", Beijing said in a statement issued by his mission to the WTO.
Copyright © AFP 2011. All rights reserved. "More".
No comments:
Post a Comment