BEIJING, June 24 (RIA Novosti) - China rejected on
Wednesday allegations from the EU and United States that it had
violated export regulations on raw materials, but confirmed it
would seek consultations on the issue to avoid a trade row.
China's Ministry of Commerce said on its website that its
policies were in line with WTO rules, and that restrictions
were aimed at protecting the environment and natural resources.
However, EU Trade Commissioner Catherine Ashton said in a
statement on Tuesday: "The Chinese restrictions on raw
materials distort competition and increase global prices,
making things even more difficult for our companies in this
economic downturn."
The charges concern 10 raw materials, including bauxite,
magnesium, silicon, coke and zinc. Washington says that China
had pledged to remove export duties in 2001 after it joined the
WTO.
Trade ties between Washington and China have been tense
for some time. Last September Beijing lifted a ban on U.S.
poultry imports - both sides had imposed poultry bans in 2004
following bird flu outbreaks. However, the U.S. refused to
reciprocate and resume Chinese poultry imports, citing health
issues in China.
If the trade consultations with Beijing fail, the
complaint will be sent to a WTO panel for a decision.
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