South Korea Has Requested Consultations With The World Trade Organization On U.S. Security Tariffs

- May 24, 2018-

The world trade organization (wto) confirmed on May 16 that South Korea has made a request for consultations on U.S. tariffs on imported washing machines and photovoltaic cells in the United States.

Relevant documents show that South Korea believe that the United States in their own industry suffered a "serious damage or threat," said plans to implement protection measures, is not this conclusion on how to give a reasonable explanation.South Korea has accused the United States of violating the wto's safeguards agreement by imposing a safeguard tariff.

The request for consultation is the first link in the wto dispute settlement mechanism.If a satisfactory outcome is not reached within 60 days, South Korea may bring the case to a wto panel.

The us announced in January that it would impose a guaranteed tariff on imported washing machines and photovoltaic cells and components, triggering a backlash from the south Korean side.Imported washing machines from the United States mainly come from Korea.The decision was based on section 201 of the United States trade act 1974.The provision, while the number of a commodity import surge, industry caused serious damage or threat to the United States, the President of the United States can through tariffs, quotas and other measures to limit imports and protect domestic industry.This trade remedy has a strong unilateralism.

According to the south Korean side, the U.S. tariff on imports of washing machines and photovoltaic cells from South Korea is about $480 million, involving about $1.4 billion in exports from South Korea.

South Korea has told the world trade organisation that it will suspend tariffs on some us imports in response to us tariffs on Korean products.