China announced on Friday, that it would be eliminating the excess charges on imported auto parts, pursuant to a World trade Organization Ruling.
“Ending these charges will help ensure a level playing field for the high quality auto parts made in America, and is an important example of the importance of enforcing our international trade agreement rights,” U.S. Trade Representative Ron Kirk said in a statement.
This a huge breakthrough for US automakers, as China represents the worlds largest auto market, but imports less than $900 million worth of US auto parts, reports Automotive News. The US exported $26 billion worth of auto parts to Canada and more than $13 billion to Mexico in 2008.
– By: Stephen Calogera