Business Wire – The Consuming Industries Trade Action Coalition (CITAC) warned that President Barak Obama`s decision to impose 35% tariffs on Chinese tire imports will result in job losses for U.S. downstream industries, higher prices for U.S. consumers and may lead to an avalanche of similar trade case filings and other demands for protectionist measures.
"President Obama has concluded that protective tariffs on tires from China will allow the U.S. tire industry to adjust. In fact, we believe that this case will undermine the jobs of many more US workers in downstream industries, including U.S. automakers who already face a very challenging environment," said Lewis Leibowitz, CITAC counsel. "This is also bad news for U.S. exporters, who will likely be hit by tariffs or other measures from the Chinese government."
"Despite the erroneous claims by those who filed this 421 petition, the U.S. imposed these tariffs without finding that the Chinese violated any trade agreement or U.S. trade law, but only that Chinese tire imports increased," claimed CITAC Executive Director Eugene Patrone.
"President Obama`s decision goes against his commitment to avoid unnecessary protectionist measures during the current economic crisis. The tire tariffs will do nothing to stimulate the U.S. economy but will cost U.S. jobs in other sectors and likely result in demands by other U.S. industries for similar protectionist measures," said Patrone.
