So… this is the deal. China gets to manipulate currency, charge VAT tariffs against our imports, freeze out U.S. vendors from gov’t procurement, steel our technology, etc. But we have to eat their questionably raised chicken.

So says the secret deliberative decision making body at the WTO.

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WTO favours China in chicken import dispute with US: report

Besta Shankar – International Business Times – July 29, 2010

The World Trade Organization (WTO) delivered a ruling against the US ban on chicken products from China, said a report from China Daily on Wednesday, citing sources close to the dispute.

As the ruling takes effect shortly, the US market will be opened up for finished chicken breasts exports from China, said the report.

In its interim ruling in June, WTO said that US ban on chicken exports from China was not in accordance with its rules and regulations.

Citing confidentiality, the officials concerned with the matter did not disclose any further details on the ruling, the report states.

“It (final ruling) will be announced in one or to two months, and the result is actually China wins,” said an unnamed source.

In July 2009, WTO constituted a dispute resolution panel in reply to China’s appeal on Section 727 of the US laws alleging it as a violation against the rules of global trade.

Section 727 of US trade laws forbids any measures aimed at importing the chicken products from China.

“Such rules are nothing but trade protectionist measures as they block China’s chicken product exports to the US,” said Ma Chuang, deputy secretary-general of the China Animal Agriculture Association, to China Daily.

Ma estimates annual exports of 100,000 to 150,000 tons of finished chicken products amounting to $500-750 million approximately after the ruling takes effect.

In no way it will not affect the interests of local farmers and manufacturers in the poultry sector in the US, he clarified.

ibtimes.com

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