US criticises China’s WTO compliance as industry groups mount complaints

In a hearing reviewing China's compliance with its World Trade Organization (WTO) obligations, a U.S. trade official, Terry McCartin, expressed concern over Beijing's alleged anticompetitive behavior, which threatens the global trading system. Despite 25 years of WTO membership, McCartin noted that China continues to operate under a non-market economic system.

Industry groups, including the American Iron and Steel Institute (AISI), have complained about China's trade practices ahead of the hearing. AISI accused China of maintaining massive steel overcapacity due to government subsidies and industrial policies, causing harm to U.S. producers and workers. The organization called for additional tariffs and stronger international coordination to address the issue.

Other industry groups, such as the Personal Care Products Council, the American Association for Elder Care, and the Semiconductor Industry Association, also filed comments with the U.S. Trade Representative (USTR). These groups highlighted concerns related to regulatory barriers, intellectual property protections, agricultural market access, and subsidies that hinder U.S. exporters.

USTR Jamieson Greer emphasized the U.S. willingness to collaborate with "like-minded partners" to tackle market distortions caused by excess capacity in the steel industry. The U.S. has long accused China of failing to meet its WTO commitments, specifically pointing out its non-market economic model, state-led economic policies, and efforts to promote domestic industries.

Beijing, however, rejects these allegations, arguing that its industrial expansion is driven by innovation and global demand, and calls for resolving capacity disputes through multilateral cooperation.