By South China Morning Post | Created at 2024-11-19 15:47:01 | Updated at 2024-11-19 18:33:52
3 hours ago
Congress should repeal China’s preferential trade status, a top US advisory panel on China said on Tuesday, the first time the body has explicitly called for an end to the policy that has been a cornerstone of China’s economic rise.
Permanent normal trade relations (PNTR) status “allows China to benefit from the same trade terms as US allies, despite engaging in practices such as intellectual property theft and market manipulation”, the US-China Economic and Security Review Commission (USCC) said in its annual report.
Revoking the status would give Washington more leverage in addressing China’s unfair trade practices, the commission said, joining a growing group of lawmakers, primarily Republicans, advocating for the move.
Congress approved the preferential status for China in 2000 in exchange for Beijing agreeing to open up its markets and liberalise its trade practices ahead of joining the World Trade Organisation.
Repealing the status would likely lead to higher tariffs on a wide swath of Chinese products and could trigger annual reviews of China’s trade practices, as was done before its PNTR was approved.
