With New Complaint, U.S. Says Chinese Auto Subsidies Are a No-No
Matt | On 17, Sep 2012
President Obama is growing tired of China and its black market ideas about trade. So, they will file a formal complaint on Monday with the World Trade Organization.
The issue stems from the allegation that China is subsidizing its auto and auto parts suppliers so their products will have an easier time entering the market. China is trying to position itself in the U.S. auto market, but it hasn’t caught on yet.
Calling China out on trade with seven weeks before the presidential election is a purely political move, in my eyes. The president has had years to get tough on China. They have done this at times in the past with a lot of bark and little bite. But, remember China our financial pimp and we cannot bite the hand that feeds us debt.
There is also the trade gap between the two nations that is valued at $280 billion, according to CNN Money. This means China is flooding our market with tons of goods and we are not able to get our products in their country in an even trade.
Subsidies or not, I’m not sure how I feel about a Chinese car. It’s not as if they are bringing their A-game with the other products they make. When I think of Chinese production, I see them taking a lot of direction from the U.S. by manufacturing our products. Or, in some cases like the fake Apple stores, they blatantly copy our ideas. It’s not often that I think about quality and innovation from start to finish in Chinese products.
We shall see how long this “tougher” U.S. stance plays out with China. *sigh*