WTO rules against China in chicken dispute with US

GENEVA-- A World Trade Organization (WTO) panel circulated a report Friday regarding the dispute of China's anti-dumping and countervailing duty measures on chicken products from the United States.

The panel upheld the US claims that China acted inconsistently with certain articles of the Anti-Dumping Agreement in conducting the investigations as well as in the calculation of the anti-dumping and countervailing duties.

It also rejected some of the US claims including the definition of the "domestic industry" by China's Ministry of Commerce (MOFCOM).

MOFCOM said in a statement that China would seriously evaluate the panel report and carry out following work in accordance with dispute settlement procedures.

The complex trade dispute settlement process can last for several years, as China can still appeal in 60 days and review the rulings.

Disputes concerning the broiler chicken, chickens less than 13-weeks-old, has been a major bone of contention in the often tense relations between the world's two largest economies.

China imposed anti-dumping duties on chicken products imported from the Unites States in September 2010, claiming that the chicken products were subsidized in the Unites States and then poured them to the Chinese market at a price less than fair value.

Washington requested consultations with Beijing immediately after the imposition of duties and then appealed to the WTO in September 2011.