US seeks WTO probe of restrictions on sale of its products
The United States will ask for a formal investigation of Chinese restrictions on the sale of American movies, music and books, which would be the fourth World Trade Organization case Washington has launched against Beijing in little over a year.
The U.S. will request the establishment an investigative panel at an Oct 22 meeting of the WTO's dispute settlement body, according to an agenda for the meeting released today.
The case will be of particular interest to Hollywood studios, Apple Inc.'s iTunes store and other American media providers possibly suffering from the "less favourable distribution opportunities" in China that the U.S. has cited in its WTO complaint.
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The WTO is already investigating three Sino-American trade disputes. Washington accuses China of illegally hindering the import of foreign auto parts, providing government subsidies to a number of Chinese industries, and effectively providing a safe haven for product piracy and counterfeiting through excessively high thresholds for criminal prosecution.
Facing a U.S. legal assault, China fired back last month by filing its own complaint over the antidumping duties the United States applies on Chinese paper imports, the first case initiated by Beijing against Washington in five years.
China has the right to block the WTO investigation later this month. But it cannot delay the panel's establishment a second time under WTO rules, meaning the investigation will most likely be authorized next month.
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