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US trade panel urges higher duties on Chinese tires

Published 06/29/2009, 11:25 AM

WASHINGTON, June 29 (Reuters) - The U.S. International Trade Commission on Monday recommended President Barack Obama impose additional duties for three years on imports of low-cost Chinese tires it says are harming U.S. industry.

In a case seen as a test of how the Obama administration will cope with Chinese trade issues, the commission recommended Obama impose additional duties of 55 percent in the first year, 45 percent in the second year, and 35 percent in the third year on imports of passenger vehicle and light truck tires from China.

"In our opinion, these tariff levels would remedy the market disruption that we have found to exist," the commission said in a statement. The complaint was brought by the United Steelworkers union, which said the imports have cost thousands of U.S. jobs.

(Editing by Sandra Maler)

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