Delegates arrive at the World Trade Organization (WTO) headquarters in Geneva, Switzerland November 22, 2017. REUTERS/Denis Balibouse/Files GENEVA (Reuters) - China has sought consultations with the United States, the first step in a WTO dispute, over its announced tariffs on $50 billion worth of Chinese imports on grounds of alleged theft of U.S. intellectual property, the World Trade Organization said on Thursday. The notification to the Geneva-based watchdog triggered a 60-day deadline for the two sides to settle the complaint or face litigation at the WTO by a neutral panel of arbitrators. China has already condemned the U.S. announcement and said on Tuesday it would “take corresponding measures of equal scale and strength against U.S. products” and that it would resort to the WTO dispute settlement mechanism. The U.S. tariff plan is based on Section 301 of the 1974 Trade Act. China, in its notice to the WTO, said it was seeking consultations “concerning the the proposed tariffs measures that the United States accords to certain goods in various sectors including machinery, electronics, etc. originating in China”. China claimed the tariffs would exceed the United States’ bound rates and appeared to violate provisions of WTO agreements, some dating back to its predecessor body, the General Agreement on Tariffs and Trade (GATT). The complaint does not put a value on alleged trade damage. Earlier on Thursday, China’s commerce ministry said it has initiated a WTO dispute resolution procedure over U.S. tariffs on its import of steel and aluminum. That separate request has yet to be posted by the WTO. Reporting by Stephanie Nebehay; Editing by Catherine Evans
China has formally initiated a World Trade Organisation dispute resolution procedure over US tariffs on its steel and aluminium. The notification to Geneva has triggered a 60 day deadline for the two countries to settle their differences or face litigation by a neutral panel of arbitrators. China claims the $50bn worth of tariffs exceed the US's bound rates and violate provisions of the trade organization, some of which date back to its predecessor body, the General Agreement on Tariffs and Trade. The US alleges that the tariffs are warranted due to theft of US intellectual property.